Freshbay, an automated hydroponic smart farm, has partnered with Affinor Growers, a Canadian developer of vertical farming technologies, to construct Freshbay's geothermal agricultural site near Hinton, Alberta, dedicated to cultivating and commercialize premium Affrinoira Fragaria strawberries. The execution of this agreement, contingent upon Freshbay securing adequate financing and agreeing on a work schedule for the project, will result in Freshbay making an aggregate payment of CAD 135,757,350 (~USD 102,670,205) to Affinor.

As part of the agreement, Affinor will provide the necessary products and services, including the installation of 17,530 vertical hydroponic towers, 34 polycarbonate Atlantis greenhouses, and an automated irrigation and fertilization system. Affinor has also introduced Berrymobile Fruit Distribution to Freshbay for the off-take of on-site-grown strawberries.

Analyst QuickTake: Freshbay initially announced the construction of its Alberta site in early February, with plans to open by January 2024. The partnership with Affinor is crucial to meeting the timeline and fulfilling the increasing market demand for strawberries. For the construction of the Alberta site, the company has also collaborated with several companies, including Novus Earth Energy to oversee the management of geothermal well drilling, installation, and maintenance; F&G Strategic Partners to secure a capital debt facility; and Canada Banana Farms to oversee the cultivation.