AppHarvest

AppHarvest, Inc.

Company type	Public
Industry	Hydroponics, Vertical farming, Agriculture
Founded	2017
Founder	Jonathan Webb
Fate	Filed for Chapter 11 bankruptcy in 2023; greenhouse assets divested
Headquarters	United States
Key people	Jonathan Webb, Martha Stewart, Jeffrey Ubben, JD Vance
Products	Hydroponically grown produce

AppHarvest, Inc. is a U.S.-based enterprise specializing in hydroponics and vertical farming, operating within the Appalachian region.

History

Established in 2017 by Jonathan Webb, AppHarvest's leadership includes prominent individuals such as Martha Stewart, Jeffrey Ubben, and JD Vance. The company entered public markets in 2020 through a merger with the special purpose acquisition company Novus Capital Corp. On July 24, 2023, AppHarvest initiated proceedings under Chapter 11 bankruptcy. During the bankruptcy process, its greenhouse assets were divested: the Morehead and Richmond sites were acquired by Equilibrium Capital, Somerset was sold to Bosch Growers, and the Berea facility transferred to Mastronardi.

The company encountered considerable operational difficulties, including reports of hazardous working environments where greenhouse temperatures soared to approximately 155°F, resulting in health complications for employees. Contract laborers constituted a majority over local staff and received fewer benefits, which conflicted with AppHarvest’s initial pledges to support the regional workforce. Numerous safety concerns involving excessive heat, mold presence, and malfunctioning equipment reportedly remained unresolved.

By November 2022, five federal lawsuits from shareholders accused AppHarvest’s management of deceiving investors regarding the company's operational readiness and financial performance. These allegations corresponded with a sharp decline in stock value and raised questions about possible fraudulent conduct. The complaints also highlighted significant executive remuneration during this timeframe.

An investigation conducted by CNN in August 2024 revealed that despite assurances of generating local employment opportunities, AppHarvest increasingly depended on migrant laborers from countries such as Mexico and Guatemala. The report further included claims of discriminatory treatment prior to visits by political dignitaries.

Locations

• Morehead (60 acres)
• Berea (15 acres)
• Richmond (60 acres)
• Somerset (30 acres)