Startup raises $16m to put virtual fencing in US, Aust
Wednesday, May 19, 2021
A New Zealand-founded agritech startup has raised $16 million to ramp up the international rollout of its virtual fencing systems.
Founded in 2016, Vence supplies herd management and virtual fencing solutions to help farmers make meat production more sustainable.
Its hi-tech ear tags work similarly to a dog collar or other devices used to create virtual fences.
Animals are conditioned to avoid certain areas using low voltage electric shocks or uncomfortable sounds which let them know when they are approaching an off-limits area.
The company was formed after Jasper Holdsworth, whose family has run a livestock farm near Gisborne for more than a century, saw an opportunity for technology to help with animal management and monitoring.
In 2017, Vence was selected pitch to investors as part of FoodBytes, a global programme from Rabobank that connects startups, corporate leaders, investors and farmers to solve food system challenges.
This month the company announced its successful capital raise which attracted support from existing backers, including Rabo Food and Agri
Innovation Fund, and new investors.
The money will be used to boost the rollout of the Vence platform in the United States and Australia.
Richard O’Gorman, Rabo Food and Agri Innovation Fund managing director, said since first investing in Vence in 2018, it had worked closely with the company on its remote herd management solution.
‘‘Together with a great investor syndicate we are thrilled to continue to support this highly relevant, sustainable technology and accelerate its offering to the livestock community.’’
Vence has received interest from nearly 5000 livestock farms globally and will deliver the first commercial version of its product to farms across the US and Australia this year.
Over time, however, the company’s goals are much larger.
Grasslands are the world’s second largest carbon sink behind the ocean, and rotational grazing has been shown to accelerate the pace at which those lands sequester carbon.
Vence aimed to provide tools which would help farmers manage animals and improve productivity, enabling faster adoption of these practices.