Kate Farms, a plant-based meal producer, secured a $30 million senior credit facility with Pacific Western Bank to help fuel the company’s further growth and expansion, the company said in a news release on June 15.
“We are proud to have successfully closed this credit facility with Pacific Western Bank as they very clearly understand our current needs and our future potential,” Tom Beecher, president of Kate Farms, said in a news release.
“This is also a reflection of the increasingly rapid growth across the plant-based industry generally, and in healthcare specifically.”
This loan comes a few months after Kate Farms announced it raised $60 million in a Series B funding round led by Goldman Sachs Asset Management, Kaiser Permanente Ventures and Main Street Advisors.
Kate Farms, which is headquartered in Santa Barbara, told the Business Times it plans to use some of the capital to build a new product center in Carpinteria. The company’s formulas are used to help nourish those with chronic illnesses and are fed through tubes, but Kate Farms also expanded to produce nutrition shakes consumed orally for people with shorter-term or milder conditions that don’t require tube feeding.
The company has seen revenue growth of around 100% per year for the past three years, allowing the company to expand to 145 employees with plans to hire more. Kate Farms has also donated over 250,000 meals to hospitals, food banks and others since the start of the COVID-19 pandemic.