In May 2020, Inventronics invested US$4 million in a stake in Agrify, a U.S. planting total solution provider, to increase the plant lighting field. In August of the same year, Agrify Corporation formally filed an IPO application in the United States.
On January 28, Inventronics issued an announcement announcing that Agrify will complete its IPO and list on the Nasdaq Stock Exchange on January 28, 2021 (Eastern Time), with the stock code "AGFY".
Agrify's initial public offering of 5,400,000 shares (before the exercise of the over-allotment option), the issue price is 10 US dollars per share. In addition, the lead underwriter responsible for this public offering will receive an over-allotment option, which can over-sell no more than 810,000 shares at the same issue price within 45 days after this public offering.
Agrify's main business is a variety of high value-added cash crops, especially to provide vertical agricultural system solutions for medical cannabis plants. Agrify is using Inventronics' power supply products, and its LED driver power supply can be fully integrated with Agrify's hardware device vertical planting unit (VFU) to form a synergistic effect. In the future, Agrify will continue to purchase power products from it.
Inventronics said that its investment in Agrify is mainly because it is optimistic about the prospects of global vertical agriculture, especially the indoor medical cannabis cultivation market.
Since 2020, plant lighting has become popular around the world. Driven by multiple factors such as epidemic prevention opportunities and the legal commercialization of cannabis, the plant lighting market has successfully entered a fast-growing track.
According to the analysis of LEDinside, the Optoelectronics Research Division of TrendForce Consulting, since the second quarter of 2020, the order of plant lighting LED companies has increased rapidly. It is estimated that the global plant lighting LED market will see an increase of $158 million in 2020, with an annual growth rate of 39.7%.
Inventronics' layout in the field of plant lighting can be a stark example. The company is actively developing LED drive power supplies for plant lighting and currently has the ability to provide systemic power solutions for vertical agriculture. The prospects of the North American plant lighting market are very promising, and the successful listing of Agrify will help Inventronics accelerate the development of plant lighting business on a global scale.
