KKR invests in Sundrop Farms

U.K.-based Sundrop Farms Holding Ltd., an agribusiness company focused on using solar panels and seawater to grow crops in arid climates, has received a major investment from global investment firm KKR & Co., one that will allow Sundrop to scale up its 20-hectare greenhouse facility in Port Augusta, South Australia. The companies did not announce the amount of the investment, but a person familiar with the deal told Reuters that it’s in the neighborhood of $100 million. The Port Augusta facility is using solar panels to power facilities for desalinating seawater, thus providing water for the greenhouse, which will produce more than 15,000 tons of vegetables per year, according to Sundrop. The company will also receive some state government funding for the project, and it has signed a 10-year contract to supply Australian supermarket company Coles with tomatoes grown at the Port Augusta greenhouse. Sundrop said that it will also use some of the KKR investment to expand operations to the Middle East, North America, and other markets.