Hogan Lovells represents Bunge Ventures in investment in agtech startup CoverCress

Hogan Lovells represents Bunge Ventures in investment in agtech startup CoverCress

Press releases | 08 April 2021

Silicon Valley, 8 March 2021 – Global law firm Hogan Lovells represented Bunge Ventures Ltd. in connection with its investment in CoverCress’s US$8 million Series B-1 preferred stock investment round.

St. Louis-based CoverCress is developing a new cover crop designed to generate a cash margin while supporting regenerative agriculture. The company plans to use the new funding for its final stage of crop development and to scale up for its first commercial planting for the fall of 2022.

Bunge Ventures Ltd., the venture capital arm of the leading global agribusiness and food company Bunge, led the financing round. REG Ventures, LLC, a subsidiary of Renewable Energy Group, Inc., a U.S. producer of biodiesel and renewable diesel, was another new strategic investor.

CoverCress is developing a new winter oilseed crop under the CoverCress™ brand. It is planted near corn harvest, and harvested immediately before soybean planting, enabling three full season crops in two seasons. Derived from field pennycress, a native winter annual, the low carbon intensity oil from the plant represents a new scalable source of material for producing fuels like renewable diesel, biodiesel and sustainable aviation fuel.

“We are pleased to invest in this business that provides farmers with a tremendous opportunity to address global climate challenges by growing new crops that help lower carbon emissions,” said Bunge Ventures Chief Investment Officer and Managing Director Nanda Kumar Puthucode. “The CoverCress crop is an exciting new regenerative non-GMO cover crop that offers many potential applications as fuel, feed and food.”

Hogan Lovells’ Co-Managing Partner Co-Managing Partner of the Northern California offices, Nate Gallon, represented Bunge Ventures on the transaction.