Private label beef producer gets funding
Verde Farms, an organic beef producer for retailer private brands and a producer of branded beef for retail, club and foodservice customers has a new investor. The Woburn, Mass.-based company has received a $15 million minority investment from Vail, Colo.-based Manna Tree Partners.
Verde Farms’ beef is 100% grass-fed and pasture-raised, and the company said the investment will help Verde Farms meet rising global demand in this type of grass-fed beef.
“In 2020 we are excited to introduce innovative, ready-to-eat mealtime options unlike anything on the market and to continue our geographic expansion within the United States in the near-term and internationally in the long-term,” said Dana Ehrlich, Verde Farms CEO.
Manna Tree Partners sees an opportunity in the grass-fed, organic beef market, saying it’s under-penetrated.
"Consumers today are more keenly attuned to the impacts of their purchase decisions from a health and sustainability standpoint,” said Brent Dever, COO of Manna Tree Partners. “We believe Verde is well-positioned to become the brand of choice for these consumers based on their sustainability and animal welfare standards, superior-quality products, traceable supply chain, and a proven, sustainable business model."
Since 2016, Verde Farms has grown its revenue by 35%. The company’s customers include Aldi, as well as Wegmans, Walmart, Harris Teeter, BJ’s Wholesale Clubs, Schnuck’s, Fresh Thyme, Bristol Farms and True Foods Kitchen.
The top products under the company include steaks, grinds, roasts, stews, hot dogs and sausages. According to Grand View Research, the global beef market is expected to reach $383 billion in the next five years.