Agdata, the largest Czech agro-tech startup, has attracted new investors. In a platform that enables the comprehensive digitization of the operation of Czech farms and the transition of farmers to data-oriented management, the current investor Pale Fire Capital increases its share. Newly, investors from Garage Angels, led by Jiří Hlavenka, are entering it. Together, they want to accelerate agdata's expansion in the Czech Republic, kick-start a revolution in hyperlocal air quality measurement, which can be used not only in agriculture, but also in Czech municipalities under the heading of the Agdata City project, and prepare the entire Agdata project for gradual foreign expansion.
In the new composition, founders and current managers continue to have a slim majority of 50.01%, headed by CEO Jiří Musil, who retains 28.58%. Pale Fire Capital increased its stake to 36.62%, while garage angels investors gained 13.37%. For example, investor Jiří Hlavenka (approx. 37%), through AFN Investments the Nepal family (approx. 14.45%), including the owners of the largest insurance broker RENOMIA, which also focuses on Czech agriculture, or Koopeo Ventures Libor Daňk (about 19.5%). In total, the investment from both entities was in the order of lower tens of millions of crowns.
The common goal of new investors is to complete agdata's expansion throughout the Czech Republic and thus make the country a digital agricultural power that can inspire the whole of Europe. Agdata is already the most widely used domestic ecosystem for smart management of farms and farms of all sizes. More than 2,000 farmers – from small family businesses to large agricultural groups – rely on it, which is about 15% of all those who have agriculture as a livelihood in the Czech Republic. Moreover, these enterprises together farm about a fifth of Czech agricultural land.
"In three years, we have managed not only to develop a comprehensive system in the field that started from scratch, but also to convince about a tenth of Czech businesses that digitization of agriculture makes sense and brings clear effects. This is definitely a great result, especially when we consider how conservative the Czech agricultural environment is," says Jiří Musil, CEO of Agdata. "We are now at a stage where digitalisation for thousands more farmers is slowly becoming a necessity – whether due to climate change, labour shortages or a growing agenda. And thanks to new investors, we are perfectly prepared to go against this change."
Agdata is one of the few entities that has long been able to document the effects of the digitisation of agriculture. Farms that use the system mention a drop in the necessary agenda by a whopping 90% of the time, 15% savings on fuel consumption, 8% savings on investments in seed and seed, and up to 100% reduction in production losses. In total, they can save farmers hundreds of millions a year.
"I like projects with clear results. Especially when we are able to achieve them in virtually any European market. Modern agriculture can only be successful with the use of digital technologies," comments investor Jiří Hlavenka. "Agriculture, on the one hand, is a traditional, conservative field – but at the same time, a successful farm will be just a high-tech farm that is able to face climate change, demands to minimize chemistry, protect soil and water thanks to technology. It is a difficult process with which the people of Agdata, who are very close to agriculture themselves, help them."
"Agriculture is a key sector of our economy, and investing in its support and modernization through Agdata digital tools makes a lot of sense to us. Moreover, many of our clients already successfully use Agdata services", adds Jiří Nepala.
Agdata currently offers its own cloud software platform for management and reporting, and a telemetry and sensor platform, communicating using GPS or LoRa networks. Hardware in the form of sensors or GPS modules comes from its own development and can be purchased on the e-shop for the smooth expansion of the system. It also offers its highly sensitive sensors or telematics sensors under the Agdata City brand to Czech governments. These are used, for example, for hyperlocal measurement of dust particles in cities and municipalities, which can link with smart municipal communication systems and warn residents effectively in case of health-threatening situations.
"We are already able to use group synergies with mobile radio and are ready to strengthen our business competence in communication between self-government, residents and entrepreneurs. Especially when we are building exclusively on our own development and the know-how of our companies," says Dušan Šenkypl, partner of Pale Fire Capital.
