Apeel develops a plant-based layer applied at supplier packing facilities that keeps moisture in and lets oxygen out, doubling produce shelf life. The company installs its coating at supplier facilities and acquired ImpactVision to add imaging-based quality controls and routing optimization. Since 2019 Apeel says it has prevented 42 million pieces of fruit from retail waste, achieved up to a 50% reduction in avocado waste, and conserved nearly 4.7 billion liters of water. Over the past year it expanded to eight countries, operates 30 supply networks, and distributes through 40 retail partners to tens of thousands of stores. Apeel plans to accelerate rollout, co-create another 10 supply networks by year-end, advance its data and insights offerings, and pursue future acquisitions. Financially, the company has raised over $635 million since its 2012 founding and continues to scale commercial deployments. Apeel Sciences produces plant-derived preservation treatments and provides supply-chain management services to reduce spoilage of fresh produce. The company is implementing its technology at distribution centers in select markets across Asia, Africa and Latin America to link smallholder farmers to international buyers. Initial target markets include Mexico, Costa Rica, Peru, South Africa, Kenya, Uganda and Vietnam, and treated crops include avocados, pineapples, asparagus and citrus. Apeel emphasizes improving market access and prices for small farmers by extending shelf life where refrigerated chains are unavailable. The company was founded in partnership with the Bill & Melinda Gates Foundation and the U.K. Department for International Development and is based in Santa Barbara, California. Financially, Apeel has raised more than $360 million to date, including a $250 million round earlier this year, and recently secured additional capital to support the international rollout. Apeel Sciences sells plant-derived coatings and treatment systems that slow spoilage and keep produce fresh on store shelves. Its technology is installed at the back end of retailers’ supply chains and can treat about 10,000 kilograms of food per hour. The company says grocers using Apeel see roughly a 50% reduction in shrink, 5–10% growth in dollar sales and an incremental 10% lift when paired with in-store marketing. This year the company is on track to treat 20 million pieces of fruit and is already working with retailers in the U.S. and Europe. With new capital the company plans to expand operations into Africa, Central America and South America to achieve year-round supply by operating in both hemispheres. Apeel is based in Santa Barbara, California, and is valued at more than $1 billion after roughly $360 million in total financing to date. Apeel Sciences develops plant-derived powders that, when mixed with water and applied as a spray or wash, form a protective “second peel” to slow spoilage of fruits and vegetables. The company’s coating is not a genetic modification and requires no special labeling at grocery stores. Apeel began in 2012 with a $100,000 grant from the Bill and Melinda Gates Foundation to reduce post-harvest waste in developing countries and has deployed distribution systems for farmers in Kenya and Uganda and a foothold in Africa and Southern Asia. It has expanded partnerships with U.S. farmers and introduced Apeel-treated avocados to Costco and Harps Food Stores, where Harps reported a 65% increase in margin and a 10% lift in avocado-category sales. Apeel says the new capital will fund R&D for additional sprays (including for stone fruit and asparagus) and further development of nature-inspired materials to reduce food waste. Apeel Sciences manufactures an edible, biodegradable film derived from agricultural byproducts (for example, orange peels) that is applied to fruits and vegetables to slow water evaporation and reduce spoilage while permitting necessary gas exchange. The coating is designed to maintain moisture yet allow delicate physiologic gas exchange so produce can mature properly while slowing decay. Their products decompose in the environment the same way food does. The company has used prior funding to scale up manufacturing, obtain FDA approvals, and ship formula internationally for demonstrations. Media attention and growing awareness of food waste have helped Apeel tell its story and attract investor and philanthropic interest. Apeel launched in 2012 out of a University of California venture competition.

Total raised

$633M

Funding rounds

5

Latest round

Series E

Latest activity

Aug 2021