US-based vertical farming company AeroFarms has revealed it will be ceasing operations and closing its site in Virginia, resulting in a termination of the company’s 173-strong workforce.

AeroFarms is a supplier of microgreens to the US retail market, grown inside its large, indoor vertical farm that employs modern technologies such as aeroponics, automated systems and AI. These technologies enable the cultivation of greens in a controlled environment, requiring less land and water than traditional farming.

The company informed the Virginia Department of Workforce Development and Advancement of its decision last week, stating that the company’s largest investor had withdrawn further financial support due to an unannounced restructuring and change in priorities.

Following this, AeroFarms said it was unable to secure alternate capital and is now unable to continue operations unless it can obtain new funding from other sources.

Located in Ringgold, Virginia, the facility is slated to close this Friday (19 December 2025), with a small number of employees set to remain for a short time thereafter to help wind down operations.

In its letter, AeroFarms acknowledged that it had been unable to give affected employees the amount of notice typically enforced under the Worker Adjustment and Retraining Notification (WARN) Act, which requires employers to provide 60 days’ prior written notice to employees in the event of a mass lay-off or facility closure.

AeroFarms said it gave notice ‘as soon as possible,’ noting that federal law recognises employers may give less notice where employment loss results from ‘unforeseen business circumstances’.

The company had only recently secured new funding to support its Virginia facility, which had become its new headquarters following the equity financing raised and the company’s refinancing of its debt.

It had grown a strong presence in the US’ sustainable, smart agriculture sector, commanding over 70% of the nation’s retail market for microgreens.