AppHarvest signs $30 million loan agreement via Mastronardi

By Wendy Van Sickle

Columbus, Ohio, Oct. 26 – AppHarvest Berea Farm, LLC entered into a loan agreement on Oct. 24 with Mastronardi Produce-USA, Inc. as lender, according to an 8-K filing with the Securities and Exchange Commission.

The lender advanced $15 million at closing of the agreement and agreed to advance further amounts of up to $15 million provided that no event of default has occurred and certain conditions have been met.

Proceeds may be used for general corporate purposes.

The initial maturity date is Dec. 19, 2022, but the date may be extended for two successive terms of 30 days apiece.

The interest rate will be 7.5% per annum but will jump to the lesser of 12.5% and the maximum legal rate if an event of has occurred. Interest will be paid in kind until maturity.

Proceeds may be used for general corporate purposes.

Parent company AppHarvest,. Inc. opened its Berea, Ky., 15-acre high-tech indoor salad greens farm featuring a touchless growing system with autonomous harvesting on Oct. 26. Mastronardi Produce is a marketing partner.

The sustainable food company is based in Morehead, Ky.

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