I was really excited to be able to recommend it after all of the work I had done on the business, learning more about it, listening to you in your passion regarding this company, I think it would be beneficial for our members, for our listeners to hear it from your own words as the founder, as the CEO of AppHarvest. The company is building some of the largest indoor farms in the world, combining conventional agricultural techniques with todays technology to grow non-GMO, chemical-free produce to be. I've tried to say, we have a team that looks at this as this is our 30-year journey here at AppHarvest. In its Nov. 7 filing, AppHarvest reported net losses of $83 million for the first nine months of the year and net sales of $10 million, with an accumulated deficit of $270 million. Visualize our facility in Murray, Kentucky, it's 2.8 million square feet, nearly 50 football fields under-glass. We had 22 meetings and had almost 20 yeses. Very few passed on this deal and we eventually had to cancel meetings., Webb describes the SPAC transaction and PIPE financing experience as absolutely phenomenal.. We're one of four companies that are publicly traded that have both of those as a company. It feels like this is something that really is just getting some traction here. Webb: The industry is at an inflection point. David and Tom just revealed what they believe are theten best stocks for investors to buy right now and Walmart wasn't one of them! Webb was raised in a white-bread, wealthy family. We're in that classic scenario of demand exceeding supply. Like every Kentuckian, Jonathan grew up knowing of the devastating job losses in the region. You can also compare Dr. Webb with other orthopedic surgeons in Eau Claire to find the one that best suits your needs. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services. Jeff Ubben, Inclusive Capital Partners founder and AppHarvest investor, and Jonathan Webb, AppHarvest CEO, join 'Closing Bell' to discuss what makes AppHarvest Because it is cutting-edge technology. For the fourth quarter Director recently sold US$216k worth of stock Nov 24 AppHarvest, Inc. Part of it is we're building companies not just for today and not just for the quarterly earnings call today, we're building this company for the next generation. AppHarvest raised over $475 million in a public IPO, but it is not over. Jonathan received his bachelors degree from the University of Kentucky. Consumers are pushing back. I was very fortunate. Webb is a highly-respected knee surgeon in the United States. MOREHEAD, Ky., Feb. 27, 2023 (GLOBE NEWSWIRE) -- AppHarvest, Inc. (NASDAQ: APPH, APPHW), a sustainable food company, public benefit corporation and Certified B Corp building some of the worlds largest high-tech indoor farms to grow affordable, nutritious fruits and vegetables at scale while providing good jobs in The history of the world is in many ways the history of technology, and of our reactions to it. How do they plan on achieving that goal? With significant tailwinds from heightened investor focus on ESG initiatives and the secular shift to plant-based foods, we believe AppHarvest is well-positioned to execute on its strategy for rapid growth and value creation, he continued. monitored for quality control 24/7 and harvested robotically. I mean, I think that kind of speaks for itself. But then there's the other side, and introducing robotics that's operating on AI, that's collecting data in our facility and making data-driven decisions. WebJonathan Webb - Founder & CEO @ AppHarvest - Crunchbase Person Profile Person Jonathan Webb Overview Number of Founded Organizations 1 CB Rank (Person) 4,704 Yes, today, we met our quarterly earnings projection, we hit our guidance, but we're making the hard investments and spending the hard time to set an organization up that's going to thrive 10 and 20 years from now. Webb: To put this in perspective, this was our first facility under operations, our flagship facility. According to AppHarvest's earnings report released Feb. 24, the company had net sales of $9.1 million and net loss of of $166.2 million in 2021. When people and robots work together, its actually more productive than robots alone or people alone. On a traditional farm, there are a seemingly infinite number of tasks to do at any given moment, so adding some computers to make it more efficient doesnt mean that human farmers will be anywhere near obsolete any time soon. Never miss a story: Follow your favorite topics and authors to get a personalized email with the journalism that matters most to you. "You look at renewable energy 20 years ago, electric vehicles 10 years ago, if we want to get CEA to be institutional at scale, not only in households with consumers, you really need that rigor of the public markets and that attention of the public markets to help institutionalize an industry," he said. We could've raised capital privately on the balance sheet and kept building. Ten years ago, Tesla made electric vehicles popular in the mainstream, and right now, it's controlled environment agriculture. WebJonathan Webb grew up in Kentucky and has been committed to developing sustainable projects from Central Appalachia. The human spirit is willing to do a lot. You have to judge yourself internally. One of AppHarvest's Crop Care Specialists operates a tomato-picking robot. This is the direction in which the world is going, so companies better get on board [laughs] or get out of the way. We're laser-focused on getting this right here. By locating within Appalachia, the company is also less than a days drive to more than two-thirds of the U.S. population. If you look at the largest grocers in the U.S., we're selling to Kroger, Walmart, Publix, and we're selling to Wendy's. Well, I mean speaking of a publicly traded company, you just released your first-quarter results, and I think this was your first full quarter as a publicly traded company. He was born into a medical family. Webb: You said you didn't want to talk the rest of the day about ESG, right? "For us, being transparent with not only the consumer, but having that transparency of a public company as we build a large global food company, we think the long-term benefits are great.". We are about to plant our first crop in a 60-acre, controlled environment, chemical-free farm. The Motley Fool owns shares of and recommends Tesla. document.getElementById( "ak_js_1" ).setAttribute( "value", ( new Date() ).getTime() ); Your bedroom should be a serene place for you to feel rested and rejuvenated. Thanks as always to Tim Sparks for putting the show together for us. There's a lot of different ways to go public and at the time and we did it, and I think it was definitely the best decision for us at the time. But to our investors the question and I got this on the roadshow, I'm in this to make money, great. My competition in Mexico, you have people getting paid $5 a day. Most countries in the Middle East import nearly all of their fruit and vegetables. Our job at AppHarvest, we need to make sure that we're keeping prices at a fair, good place where we're at today. Clearly, the younger generation is coming up, sustainability matters, better food matters. Again, the private markets get a very bad rap socially. 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That's right -- they think these 10 stocks are even better buys. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. But being true to our ESG values, we think it is a competitive advantage and going to make us more competitive in the years to come. Yes, maybe we're paying marginally more in the short-term, but that workforce is the one that's beating production targets daily. To make the world smarter, happier, and richer. Webb doesnt mince words on the specifics; the most valued companies in 100 years, he said, will be the ones that allow humanity to survive. He names a few: electronic vehicle manufacturers, renewable energy companies. It was clear that their work culture is infused with a pioneering mentality, and that Webb feels strongly about keeping that culture consistent as the company expands. It is a non-profit organization that provides education and social services to low-income residents living in low-income apartments. Also referred to as blank check companies, the mechanism has existed for several years but has received increased attention of late. Investors look at that, Peter Halt, AppHarvests newly appointed chief financial officer, told AFN. This is becoming really a hot-button topic for a lot of investors, rightly so. Amid the verdant rolling hills of central Kentucky, in the heart of Appalachian coal country, youll Putting a retention pond, we filter it with no chemicals and we're able to run our facility. There's going to be a lot of companies hopefully working to solve our food and agriculture problems. Theyre designed to be safe around people. We're building infrastructure in an area of the country where we're having record amounts of rainfall, and if you look at the climate maps, we continue to get wetter. No one else in America is doing something at that scale. Invest better with The Motley Fool. We're going to be headquartered in Central Appalachia, execution at scale here in the U.S. but this is a global problem that we've gotten phone calls from around the world about how and when we can take our solution and go elsewhere. Webb left for college, eventually pursuing a career in renewables at the DOE, a space where he felt he could be part of the solution. But the economic devastation in his home state still bothered him. Thank you for your continued support. I would not want to be one of those large operators and food today when you see the consumer trends changing as quickly as they are, and we feel very optimistic again about where our growth trajectory is. Which is important, because AppHarvest employs well over 300 people in its Morehead facility alone. Webb, a former rugby player, has a wealth experience and is now helping players return to the sport they love. There won't be one automotive company transporting the world. All Rights Reserved. After serving as an assistant public defender in Marylands Office of the Public Defender, Webb joined Ethridge Quinn for 2020. WebThe combined company will be led by Jonathan Webb, AppHarvests Founder & Chief Executive Officer. A Kentucky native and University of Kentucky graduate, Jonathan Webb is turning his dream of a high-tech farming hub in Appalachia into reality with AppHarvest. AppHarvest, which went public in February in an IPO that brought it $475 million in gross proceeds, is an ambitious venture. We've been very fortunate and humbled that the Root AI team is fully a part of the AppHarvest team building robotics that's operating on AI, collecting data. They're not going to be solved in a month or a year or a quarter and we just want to build an organization that's going to be able to go toe-to-toe with the larger incumbents out there, and the best way to do that is to have that rigor of being a publicly traded company. I have no doubt that we will. Let's force that rigor early. I encourage anyone to go out there Google Root AI and go check out the videos of what some of this stuff does. But then what have we done with Root AI? In 1985, he joined Bristol Rugby and won the John Player Cup. The High Stakes of the Roundup Cancer Lawsuit: Why Billions of Dollars are on the Line, 5 Ways to Get Money for Investment Property. It means transparency. I hope you enjoy our conversation. We dont have two planets though, so Webb got creative. Why is that important? Jonathan Webb, a specialist in knee surgery, was once a prominent player on the English rugby team. WebGet Chad Hill's email address (c*****@appharvest.com) and phone number at RocketReach. The world's food and agriculture problems are not going to be solved overnight. FORTUNE may receive compensation for some links to products and services on this website. could be sentient says Microsofts chatbot feels like watching the Shark Tank investor Kevin OLeary says a new generation of employee has never worked in an officeand its totally I cant afford to sell because I dont want to lose that rate: 3% mortgage rates will loom large over the U.S. CA Notice at Collection and Privacy Notice, Do Not Sell/Share My Personal Information. It's the workforce that we're going to use to grow the organization. His vision of the future of farming and much, much more. We have a phenomenal growing team. Kentucky has been experiencing record amounts of rainfall in recent years, so for Webb, the location was obvious. Despite IPOs last year having the worst returns in a decade, Webb said he believed 2021 was an important time for the company to go public and stood by the decision to take the company's mission "directly to the Street" and to receive the "rigor of Wall Street early," which he claimed will only make the company "stronger in the long run.". No, weve made some mistakes. He also received his medical license from Minnesota. As founder and CEO of AppHarvest, Ive been listening to a podcast called The Future of Farming and Investing, where Jonathan Webb discusses how AppHarvest has built a three-million-square-foot indoor farm, twice as large as Amazons largest distribution center. We're going to be based in Central Appalachia. You talk about sustainable. It hopes to expand into leafy greens, berries, cucumbers, and bell peppers in the future. Terms & Conditions. Copyright 2023 Surperformance. I love that passion. Founder of AppHarvest, Inc., AppHarvest Morehead Farm LLC and People at large tech companies question what theyre actually building. The private markets don't need to be a part of the problem, but we can't just be quarterly earnings focused. Making the world smarter, happier, and richer. Now, his company AppHarvest (the name is a play on both Appalachia and the high-tech nature of what they do), operates a sixty acre greenhouse in Morehead, Kentucky that grows hydroponic tomatoes up to the ceiling. Below, we look at some of his most popular tweets. Just wondering if you could share some of the highlights, some of the things you're proud of in regard to this earnings release, and your excitement here for the year to come. We're ramping up and scaling quickly. His fund's based in DC, we had them as early investors. Let's let the consumer of our product also be the buyer in our company. We're building large facilities to grow fruit and vegetables running completely on recycled rainwater using LED lights, software, and sensors. In our first month or two, we're already at all those outlets. These food companies today are like the cigarette companies 40 years ago. I think that's going to be something that just continues to get into the public's mind. WebAppharvest (: ) is owned by 29.32% institutional shareholders, 30.67% Appharvest 40.01% retail investors. We want to make sure you get the most out of our platform. If I were an investor, Id want my CEO on the ground with the team, not just in an office tower, he said. Her estimated net worth is more than $15 million. Your email address will not be published. Although his net worth is impressive, its important that you remember that he doesnt have to act alone to be wealthy. Jonathan was named one the Top 30 Most Influential Lawyers in Washingtonians 2018 list upon graduation. AppHarvest is an indoor farming company, so has massive greenhouses "We see this as a couple-decade journey, and really, we're in our first decade," Webb told Yahoo Finance's Julie Hyman at the 2022 SXSW Conference (video above). The applied technology company is developing and operating some of the worlds largest high-tech indoor farms. We can also do it by returning investors to our shareholders. This article will briefly review the most important information. To do that and look out for the long term is true sustainability, or resilience., Webb, who began his career developing renewable energy projects for the U.S. Army, believes any company is either part of destroying the planet or part of rebuilding its industry to align with the planet: I think its our obligation as CEOs to build companies that create long-standing values.. Jonathan Webb poses with celebrity investor Martha Stewart and some of his signature tomatoes. Is there a benefit? Recently, I had the opportunity to chat with Jonathan about the growing opportunity in the AgTech space. A SPAC is formed with the sole purpose of raising capital through an IPO in order to acquire an existing privately-held company and take it public. We need to change the profits versus purpose narrative; purpose drives profit and, ultimately, is what makes an organization durable and resilient for decades to come, Webb told Fortune. Once operational, it will ship 45 million pounds of fresh produce annually to grocery stores in the Midwest and Southeast. Remember, you can always reach out to us on Twitter at @MFIndustryFocus, or drop us an email at [emailprotected] As always, people on the program may have interest in the stocks they talk about and The Motley Fool may have formal recommendations for or against, so don't buy or sell stocks based solely on what you hear. Webbs England career totaled 67 points, breaking Hodgkinsons 60-point record. So the problem at a macro level just started with hearing the statistic [that humanity will need] 50% to 70% more food by 2050. Here are five relaxing scents you can use in your bedroom. In the 1992 Five Nations, England won the title back-to-back for the first time since 1924, thanks to Webbs brace. No. The other thing is scale. Well, you need water you need food, and you need energy. WebJonathan Webb, AppHarvest Inc: Profile and Biography - Bloomberg Markets Live Now Bloomberg TV+ Leaders with Lacqua:Mark Read WPP CEO Bloomberg Radio Meet the But the production we've left in the US is being grown in areas that are running out of water. "We have the capital we need and we're focused on building and operating, and just head down on execution," Webb said. In the same year, he scored his second try after just 23 seconds. Jonathan Webb grew up in Kentucky and has been committed to developing www.vbprofiles.com is now www.topionetworks.com. Age : 37. Jonathan Webb: AppHarvest, we're based here in Central Appalachia and we're building some of the world's largest controlled environment agricultural facilities. I fundamentally do not think its a tradeoff. Those robots have collected the worlds largest data set of tomato images, and each one is equipped with cameras and a laser that creates a 3D scan of the crops in front of it to determine what needs to be done at any given moment. Here, we've had three years out of the last ten years in Kentucky have been our wettest years on state record. "Tech for good the consumer wants it. Are we perfect? "In less than Almost every company in the coal industry has gone bankrupt over the last 10 years. AppHarvest raised over $475 million in a public IPO, but it is not over. You have climate disruption. We'll talk a little bit about your quarterly results here in a minute because I want to get into that, but one of the things that stood out to me in the earnings call. Everybody has full healthcare. If you want to know how wealthy he is, read on! I'm looking forward to being able to find more and more of these AppHarvest products in our grocery stores as we move forward. Project Access offers ESL/ESL classes, after school programs, and computer literacy. But if you look at all the problems in the agriculture system, this industry really solves most of those problems. At one point, we were thinking of putting up a billboard in front of several large tech company offices saying, Come build tech that matters, Webb said. Fresh Take: A Make-Or-Break Food Trade Show, Inside The Food Labor Movement: An Update From Starbucks Front Lines, Its The Gourmet Toast Driving Expansion At Toastique, Fungi-Based Protein Company Meati Launches Scientific Advisory Board To Support Scale-Up, Nutrition Research, City Saucery Takes Pride In Its Ugly Tomato Sauces, By Helping The Ukrainian Community In Manhattan, Veselka Earns A James Beard Nomination For Outstanding Restaurant, French Wine Region Bourgogne Should No Longer Be Translated To Burgundy. For us, we're looking at metrics, how can we be more sustainable? Were investing heavily in our future, so were spending heavily today, he said. Despite the off quarter, Webb has much to celebrate. It's about getting the industry to turn the corner at scale globally," Webb said. We've just been selling product for a matter of months. Non-planned trade are trades that We dont talk about this at all in the US. No. Moser: Yeah, absolutely. It's nearly impossible to have full transparency. We're really in the business of packaging up water and then shipping that out to major markets and then beyond that execution at scale. You've had fast-food chains, that is one of the biggest risk to a grocer is the paranoia and being terrified of where that product is being grown. We've been able, very fortunate, a very talented team, MIT team out of Boston that has a proven track record and great products that we've integrated them fully into the AppHarvest team. Webb: Well, thank you and thank you for having me, and we've got a lot of work to do here, but I can assure you we're head down building and look forward to continuing the conversation another time. We have to figure out how to grow a lot more food with a lot less resources and we can use that by utilizing technology and infrastructure to grow fruit and vegetables with 90% less water and get about 30 times yield per acre. "It's hard to be the one that's looking two decades down the road while thinking of the here and now.". It doesn't need to be one or the other, it needs to be both, and we're happy to be a bit of a public benefit corporation and B Corp certified. Jonathan Webb grew up in Kentucky and has been committed to developing sustainable projects from Central Appalachia. Again to some of your viewers that aren't aware of Root AI just look them up and take a look at some of those videos. But I think there are a lot of benefits that come with that. We've had record amounts of rainfall. In order to do that, you have to have rigor. You are speaking our language here at The Fool. Now, our job is to make sure it's at around the same price. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.*. Webb founded it in 2017 in his native Kentucky; it became a certified B Corp two years later. The mission-driven approach Webb has prioritized is the companys main selling point both for investors and potential employees, whom he works to lure away from billion-dollar conglomerates. To catch full episodes of all The Motley Fool's free podcasts, check out our podcast center. We can have all the technological tools in the world, but at the end of the day we have to put people at the center of the equation.. WebJonathan Webb. But if we do the work to center the people who benefit from that technology in the middle of the conversation, then progress doesnt have to be a bad thing. But one thing we'd like to talk about is competitive advantage, what makes a company special? If I'm a grocer and I'm saying U.S.-grown in a controlled environment we solve for all that. There's a level of rigor that comes with that, and so for us, the SPAC was just a vehicle. Because our services are focused on technology, 5G connectivity, and all of the different benefits we're going to get from that. I'd tell you, we go through tomatoes, handover, [] in my house alone, I'm sure. To access all the content for free, please sign up by entering your email. The estimated value when the deal closes will be about a billion dollars for the company. Webb is from Kentucky, where 16% of residents are CSC Leasing: Non-dilutive Funding for AgTech Startups, Americas Cultivation Corridor: We Grow AgTech Innovation, As demand for protein grows Sustainable Planet bets on water lentils as a viable alternative to soya, How not to fail in vertical farming: Be on guard for hubris, say Indoor Ag-Con speakers, International Fresh Produce Association launches 2023 Fresh Field Catalyst Accelerator program, BREAKING: Perfect Day animal-free dairy patent in US challenged, What is the role of biotech in an ethical food system?