ESG & Investing

BNP Fund Unit, Amundi Eye Vertical Farms as Droughts Worsen

Niche food sector attracts renewed investor interest from some of the world’s largest asset-management firms. 

Employees work inside an indoor vertical farm in Pyeongtaek, South Korea, on Feb. 23, 2021.

Photographer: Jean Chung/Bloomberg
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After a series of stock market setbacks, investor interest in vertical farms is once again on the rise.

Vertical farms grow fruits, vegetables and herbs in stacked layers in a controlled indoor environment. Spurred by the risk of food shortages resulting from severe droughts, heatwaves and other extreme weather events in Europe, Asia and the US, there is now a revival of interest among fund managers, private-equity firms and some large corporations.