CubicFarm enters financing program for HydroGreen
By Plant staffBusiness Operations Food & Beverage automated vertical pastures CubicFarm floor plan financing HydroGreen support agreement wholesale program
CubicFarm’s animal feed division, HydroGreen, is entering into a wholesale program and support agreement with DLL Finance to provide floor plan financing for the sales of automated vertical pastures to HydroGreen’s dealership network.
The Program provides interest-free financing for all products sold by HydroGreen to its dealers for up to 180 days, subject to DLL’s credit approval. Upon issuance of the sales invoice and DLL’s approval of the required dealer documentation, HydroGreen will receive the proceeds of sales directly from DLL, net of an initial charge rate which is benchmarked with the one-month term secured overnight financing rate. Dealers qualified under the program will be subject to certain curtailment schedules and ancillary fees customary to the financing, as well as interest rates based on SOFR, plus a margin in the event of a term extension beyond 180 days.
“We are very excited to partner with DLL and launch an effective wholesale financing solution that will help facilitate HydroGreen’s sales growth, accelerate our cash collection cycle, and enhance financial flexibility for our network of dealers,” said John de Jonge, interim CEO, CubicFarms and president, HydroGreen. “We believe the Program will significantly strengthen our global sales strategy as we continue our market penetration into the dairy and beef industry with our technology to improve feed nutrition, efficiency, and animal health.”