CubicFarm Systems announced that it has entered into a global reseller agreement with Groviv, a science and technology of controlled-environment agriculture (CEA) company. Groviv, a division of Nu Skin Enterprises – a minority investor in CubicFarms – will lead global sales for CubicFarms and has appointed Joe Huston, its Vice President of Business Development to direct the effort. Mr. Huston has extensive retail sales and distribution experience, working with brands such as Walmart, Kroger and Costco.
The reseller agreement, while global in nature, will be focused initially on the sales of vegetable-growing machines in key territories such as China, the Middle East and other strategic areas. The agreement complements CubicFarms’ own sales and marketing efforts for its machines. CubicFarms is also focused on growing machine sales in its other verticals – animal feed, hemp/cannabis and nutraceutical ingredients – through its own sales pipeline or in partnership with other resellers.
In January 2019, CubicFarms signed a binding term sheet with Nu Skin to work together in the long term to market and sell CubicFarms systems in China. This reseller agreement expands upon CubicFarms’ relationship with Nu Skin to allow its Groviv division to act as an exclusive, authorized reseller globally, with the provision that Groviv fulfills a minimum semi-annual sales threshold of 60 and 140 CubicFarms growing machines by June 30, 2020 and December 31, 2020, respectively.
“The expansion of the China binding term sheet to this global reseller agreement is a testament to Nu Skin and Groviv’s confidence in CubicFarms’ patented technology. We are excited to work with Joe and his team to bring the best automated vertical farming technology to China, the Middle East and other strategic areas where population growth, water, soil and farmland challenges present a huge need for high-value leafy vegetables, herbs and other crops,” said Dave Dinesen, Chief Executive Officer of CubicFarms.
“Joe and the rest of the Groviv team have already established relationships with key growers, customers and partners worldwide, resulting in a significant sales pipeline. Joe’s leadership experience in building businesses and driving revenue, coupled with his deep experience operating in China, are an enormous boon to our partnership.”
Steve Lindsley, President of Groviv, stated: “We are excited to combine both our sales and marketing expertise with CubicFarms. Together we have the science, technology and experience to provide sustainable solutions that will grow safe, clean and nutritious fresh produce around the world.”