KINGSVILLE, Ontario – Mastronardi Produce, Ltd., a fourth-generation, family-owned commercial greenhouse grower, based in Ontario, Canada, has acquired two of AppHarvest’s high-tech greenhouse operations in Kentucky.

Located in Richmond, Ky., and Morehead, Ky., the two facilities represent a combined 120 acres of fully lit production.

“We are very proud to keep the Morehead and Richmond facilities online, and to grow with the teams there,” said Paul Mastronardi, president and CEO of Mastronardi Produce. “It is a privilege to continue to serve this region through sustainable farming, providing local jobs in Appalachia, and nutritious food across the U.S.”

Mastronardi Produce grows and markets nationally-recognized products under the SUNSET® brand, including Campari®, Flavor Bombs®, and Angel Sweet® tomatoes. Mastronardi Produce has been family-owned for over 70 years, growing tomatoes, peppers, cucumbers, and berries.

In July, AppHarvest filed for Chapter 11 bankruptcy after only three years in business, citing the need for “a financial and operational transition to enable the company to reduce its outstanding liabilities,” company officials said. According to bankruptcy court filings, AppHarvest had over $609 million in assets and over $341 million in debts at the end of March.

That same month, AppHarvest obtained a commitment from Equilibrium, the company’s largest secured creditor, to provide approximately $30 million of debtor-in-possession financing to provide the necessary liquidity to support operations at the Morehead, Richmond and Somerset farms during the Chapter 11 process.

In early September, Dutch company Bosch Growers was ready to acquire AppHarvest’s 30-acre berry and cucumber farm at its Somerset location; however, the deal at the time was pending.

As of Oct. 19, Bosch Growers officially acquired the Somerset, Ky., location, and will partner with Ever Tru Farms, a Canadian indoor hydroponic strawberry farm, to distribute premium strawberries.

Currently, AppHarvest operates its 60-acre flagship farm in Morehead, Ky., producing tomatoes; a 15-acre indoor farm for salad greens in Berea, Ky.; a 30-acre farm for strawberries and cucumbers in Somerset, Ky.; and a 60-acre farm in Richmond, Ky., for tomatoes. The four-farm network consists of 165 acres.

While AppHarvest officials declined an interview regarding Mastronardi Produce’s acquisition, Mastronardi Produce officials told Farm World in a joint statement, “Equilibrium Capital purchased the Richmond and Morehead facilities from AppHarvest as part of the bankruptcy process. Equilibrium separately leased each facility to a Mastronardi Kentucky tenant operator.

“The Berea facility transaction is completed,” company officials said. “Mastronardi Berea, LLC, is in lawful possession, owns and operates the Berea, Ky., leafy green facility. Mastronardi Produce wholly-owned subsidiaries are the tenant operators under long term leases. Farm employees were offered employment, and most have been retained.”

With over 700 employees, Mastronardi Produce has established a support team to ensure a smooth transition and continuity of operations for employees at the Morehead and Richmond locations.

The acquisition of these two AppHarvest facilities is part of the company’s broader strategy to expand its operations in the United States. 

“As leaders in commercial greenhouse growing, we’re invested in expanding both productive capacity in the industry, and employment opportunities for workers,” Mastronardi said.