San Luis Obispo-based Hortau, a company that makes cloud-based irrigation control systems for farmers, has raised $3.5 million in financing from Avrio Capital.
Hortau is a Canadian company with its U.S. headquarters on the Central Coast. The financing from Avrio, a Candian private equity firm, is the second cash infusion that the financiers have made in the technology company in the past 14 months.
Hortau’s technology consists of sensors to measure how much water is available to crops and then software to help farmers optimize their yields. The company was founded in 2002 and came to the U.S. in 2007. In a news release, the company said that the new capital is helping it expand rapidly in the U.S.
“The technology provides hope to producers worldwide who want to maximize yields or are struggling with water shortages,” Tom Kaneb, managing director at Avrio Capital, said in a statement.
Hortau CEO Jocelyn Boudreau told the Business Times in February that the company’s tools help farmers get the most out of their crops when there’s less water to go around.
“You can cut your water in half. That’s where precision tools come into play,” Boudreau said. “If you want to cut water, you’re playing with a very fine line. With precision tools like our system, you can go closer to the fine line and still make a profit.”