In the United States (US), food waste technology company Divert, Inc.,a portfolio company of global private equity firm Ara Partners, has announced that it has secured new funding to support its growing operations and bring wasted food solutions to more retailers and manufacturers across North America.
The funding, led by Wittington Investments Ltd, reflects the “gravity of the wasted food problem across North America and recognizes Divert’s scalable solutions.”
The total value of the funding has not been disclosed.
This investment is a strong endorsement of what our team has built over 19 years as we continue to scale our infrastructure to solve the wasted food crisis. This funding underscores confidence in our industry leadership, proven ability to turn vision into infrastructure at scale, and the measurable impact of our solutions. We are eager to expand our footprint in North America and continue to deliver value to customers, communities, and investors, said Ryan Begin, CEO and co-founder of Divert.
Fund expansion plans
According to Divert, in 2023, the United States generated nearly 74 million tonnes of surplus food, and in Canada, over 46 percent of food is wasted every year.
With this new investment fueling expansion plans, Divert is accelerating its business momentum, including the buildout of its Integrated Diversion & Energy Facilities in Longview, Washington (WA), and Lexington, North Carolina (NC), which are expected to commence operations later this year.
In Turlock, California (CA), Divert is already operating an Integrated Diversion & Energy Facility capable of processing 100,000 tonnes of unsold, non-donatable food products annually to reduce waste food and promote circularity in the region.
Through these facilities, Divert can recoup the value in unsold non-donatable food by leveraging anaerobic digestion (AD) to transform food and liquids into beneficial products—including carbon-negative renewable energy, soil amendment, and nitrogen-rich fertilizer.
The company’s model supports major food retailers and manufacturers in achieving organic waste mandate compliance, meeting food waste reduction goals, and uncovering meaningful cost benefits through better purchasing and merchandising decisions.
This funding builds on previous rounds and demonstrates the confidence our investors have in our approach to address the wasted food crisis. As we continue our relationship with Wittington Investments and other global partners, we look forward to deploying capital to scale our business to meet the strong demand for wasted food solutions, said Brad Lukow, CFO at Divert.
Expand board expertise
In addition, Divert’s parent company, Ara Divert HoldCo, recently expanded its board of directors to bolster Divert’s energy expertise and international support at a time of critical growth.
Divert’s growth underscores both the urgency of the escalating food waste issue and the team’s ambitions to drive real impact. We look forward to supporting Divert as they scale operations and expand the delivery of innovative food waste solutions across the US and beyond, said Zvi Orvitz, Managing Director, Sustainability and Energy Transition at Wittington Investments, and who joins the Divert board of directors.
Also joining the board of directors is Ali Naqvi, Chief Investment Officer at Ontario Power Generation (OPG).
I’m honored to be able to help support and guide Divert on their mission to prevent food from being wasted by joining their Board of Directors. Divert has already had a large impact on reducing wasted food in the US, and I’m looking forward to being part of their continued efforts to grow their solution to reduce wasted food across North America, said Ali Naqvi.
