Private Equity Firms Hold 33% of AirJoule Technologies, Insiders Own 32%

Private equity firms own 33% of AirJoule Technologies' shares, while insiders own 32%. A total of 3 investors have a majority stake in the company with 55% ownership. The substantial ownership by private equity firms indicates they have a significant influence on the company's management and business strategy.

North American company Village Farms International has agreed to sell off a majority stake in its greenhouse fresh produce division, Village Farms Fresh, to a new holding company called Vanguard Food. This move is part of Village Farms' strategic focus on its growing and highly profitable international cannabis business.

The deal, which is expected to close in the second quarter of 2025, involves Village Farms receiving US$40mn in cash proceeds and a 37.9% equity ownership interest in Vanguard Food. The transaction is backed by private investment firms including Sweat Equities, with Village Farms retaining a minority stake in the new entity. This move aims to allow the fresh produce business to "flourish independently" with new strategic capital partners [1].

Village Farms Fresh, one of the largest and longest-operating vertically integrated greenhouse growers in North America, produces tomatoes, cucumbers, and peppers. The company will privatize its Texas-based 40-acre Marfa II and 40-acre Fort Davis greenhouse assets, including all produce-related intellectual property, and transfer its product distribution facilities, employees, and operational control to Vanguard. Village Farms will continue to own and lease its 20-acre Marfa I greenhouse to Vanguard, which is adjacent to 950 acres of unoccupied land, offering future expansion potential [1].

In Canada, Village Farms will maintain ownership and operation of its Delta greenhouses in British Columbia, comprising the 60-acre Delta 1, 25-acre Delta 2, and 25-acre Delta 3 facilities. The Delta 1 greenhouse generated approximately US$25mn in fresh produce sales in 2024, and Village Farms will continue to supply Vanguard under multi-year service and supply agreements [1].

Charlie Sweat, founder of Sweat Equities, has been appointed chairman of Vanguard's management board, while Michael DeGiglio, president and CEO of Village Farms, will serve as interim CEO of Vanguard until a permanent successor is found. Steve Ruffini, CFO of Village Farms, will also join the board [1].

The transaction is expected to unlock tremendous long-term value for both Village Farms' cannabis and produce businesses. Village Farms believes this move will position its produce business to thrive as an independent private entity and provide significant expansion potential for the company to continue building its leadership position in global cannabis [1].

References:
[1] https://www.fruitnet.com/fruitnet/village-farms-sells-majority-stake-in-produce-business-to-vanguard-food/266765.article