CultivateAI Joins Gevo to Advance Carbon Tracking Solutions
Key Takeaways
Gevo, Inc. buys Cultivate Agricultural Intelligence, LLC for $6 million.
The acquisition will help Verity, Gevo’s subsidiary.
Combined solutions will advance carbon tracking and sustainability in multiple markets.
Gevo, Inc. has completed the acquisition of Cultivate Agricultural Intelligence, LLC (“CultivateAI”) for $6 million with potential additional earn-out payments to the sellers.
CultivateAI will be rolled into Gevo’s wholly-owned subsidiary, Verity, to support business development and growth initiatives. CultivateAI has $1.7 million in revenue in 2024 and is cash flow positive. They deliver agricultural data services through a software as a service (“SaaS”) platform.
Gevo will merge CultivateAI’s digital agriculture data and analytics with Verity’s carbon accounting and tracking. This will provide high-quality, data-driven solutions for carbon reduction across food, feed, fuels and industrial markets and help farmers operate, sustain and profit. CultivateAI’s cloud-based SaaS platform allows farm operators, agronomists, ag-service providers and researchers to make data-driven decisions with real-time analytics.
“Adding CultivateAI and its inventive approach to Verity will help us grow revenue by providing the most complete set of data-driven analytics services to farmers, agronomists, and researchers,” said Dr. Paul Bloom, Head of Verity and Chief Carbon Officer of Gevo. “With this acquisition, Verity is speeding up our development and increasing the value we will deliver to our customers.”
Verity is the leader in tracking, verifying and quantifying carbon intensity across the entire carbon lifecycle. By adding CultivateAI’s tools and client base to Verity, they will attract clients outside of the biofuel space and create new revenue streams.
“We are constantly looking for this kind of development that delivers new streams of untapped revenue to the company,” said Dr. Pat Gruber, CEO of Gevo. “As we accelerate development of Verity, we expect to see these customer relationships and revenue opportunities grow as customers seek out new products and services that help them understand their businesses better. These new business elements support our mission of growing an efficient circular economy, and delivering shareholder returns by adding scalable revenue opportunities now.”
Follow KnowESG's Company News for regular news and views.
Discover an extensive network of ESG providers here
Check out KnowESG's latest ESG Course updates
Source: Gevo
