Agronomics invests more in plant cell culture company, GALY CO

LONDON, UK: Agronomics, the leading listed company focused on the field of cellular agriculture, has invested a further $1 million into GALY CO.

GALY CO. is an existing portfolio company focused on plant cell culture.

Agronomics will subscribe for 364,710 Series A Preferred Stock using cash from the Company’s own resources. Following this investment, Agronomics will own an 4.11% equity stake in GALY.

GALY is a leading plant cell culture company with disruptive technology for growing cotton from cells in a laboratory facility rather than utilising traditional soil-based methods. It is headquartered in Boston, US, with research also in Sao Paulo, Brazil.

Agronomics first invested in GALY in 2020, with a US$ 500,000 investment in the form of a SAFE (Simple Agreement for Future Equity).

This SAFE has converted to 909,090 Series A Preferred Shares, representing an IRR of 79% and Multiple on Invested Capital of 4.94.

In aggregate, Agronomics will hold 1,273,800 Series A Preferred Stock in GALY. Subject to audit, Agronomics will now carry this aggregate position in its accounts at a book value of US$ 3.47 million, representing an unrealised gain on cost of US$ 1.97 million. The holding will account for approximately 1.82% of Net Asset Value.

Jim Mellon, co-founder and executive director of Agronomics commented: “We’re delighted to invest further in GALY to help drive their mission to revolutionise cotton production, safeguard our environment, and disrupt conventional agriculture. GALY has successfully demonstrated its ability to produce cotton from plant cells and Agronomics sees huge potential for other opportunities to arise from this technology. We’re looking forward to working with the team on their exciting new growth phase.”

GALY is producing cotton grown from cells in a facility, not plants on a field. They have developed a process to grow cotton (and other products) in vitro that is 10x faster, uses 80% less resources, independent of land or weather and with the potential for 5x-10x higher margins than traditional products.

Agronomics is the leading listed company focused on the field of cellular agriculture, inclusive of cultivated meat, plant cell culture and precision fermentation.

www.agronomics.im

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