TPG Alternative and Renewable Technologies (TPG ART) has led a C$38.8 million ($29.2 million; €27.19) Series B financing for Inocucor Technologies, a Montreal-based producer of soil and plant products.
The funds will help fund a new US headquarters, boost production at Inocucor’s Montreal pilot production and R&D facility, and increase staff, according to an announcement from TPG ART.
Inocucor is also pursuing strategic acquisitions and product development partnerships in North America, Latin America and Western Europe.
TPG ART, a growth-equity and late-stage venture capital vehicle of global alternative asset firm TPG with $250 million in assets under management, typically injects between $20-$35 million over the lifetime of an investment.
“This investment speaks to TPG ART’s strategy of partnering with unique companies that are deploying innovative business models and technologies to reduce environmental impact and promote resource efficiency,” said Geoff Duyk, partner at TPG ART, who joined Inocucor’s board of directors.
Other participants in the Series B round include existing investors Cycle Capital Management and Desjardins Innovatech, as well as Closed Loop Capital.
Through a fermentation process combining bacteria and yeast strains, Inocucor produces soil and plant inputs meant to improve crop yields and shorten growing periods.
The company’s flagship product, Garden Solution, soon to be rebranded in the US as Synergro, targets high-value produce including strawberries, tomatoes, lettuce and broccoli. It has been shown to increase yields from the high-single-digits to between 40 and 50 percent, according to the statement.