Plant Prefab Secures $2M Series C Follow-On Investment from TEMSA
RIALTO, California – January 10, 2023: Plant Prefab, the first Certified B Corporation™ building technology company dedicated to sustainable design, materials, and operations, today announced that it has secured a follow-on equity investment of $2 million from Mexico-based structural steel fabricator TEMSA. The investment brings the total raise for Plant Prefab’s recent Series C funding to $44 million, which will be used to complete the company’s first automated factory and first regional production hub in Tejon Ranch, California. The 270,000-square-foot Tejon Ranch Hub will support Plant Prefab’s expansion into larger multi-unit and multifamily housing production and allow the company to serve the entire western United States.
“TEMSA’s investment further reflects the value that major companies in the construction ecosystem place on our differentiated business model and tech-enabled process,” said Steve Glenn, Founder and CEO of Plant Prefab. “Automated production will exponentially increase our production velocity and allow us to scale our production capacity from 40 or so housing units per year to more than 800, enabling us to efficiently deliver market-rate, affordable, and workforce housing where it’s needed most—notably the many high-demand, labor-constrained urban infill and resort communities throughout the west.”
Plant Prefab’s patented Plant Building System™ was specifically designed to solve for challenges related to the national housing shortage by utilizing advanced engineering in combination with specialized Plant Panels™ and Plant Modules™ to accommodate all housing typologies and building sites. The flexible system accommodates modular, panelized and hybrid modular/panelized building solutions, supporting the work of local general contractors by delivering high-quality building components much faster than they could be produced in the field. The system also saves time by facilitating parallel on-site/offsite work streams and mitigating or altogether eliminating schedule slip from skilled labor shortages, trades clashes, human error, inspections, weather, and supply chain delays.
“Plant Prefab is a leader in the rapidly growing single-family and multifamily prefabrication sector, and we are excited to support the company as it continues to scale its operations and expand to new geographies,” said Fernando Trevino, CFO of TEMSA. “There are many synergies between our companies and a strong alignment of interests that we believe will yield mutually beneficial results over time.”
Plant Prefab’s Series C funding round was led by Gerdau Next Ventures, the corporate venture capital program of Brazilian steel producer Gerdau, with additional investments by Asahi Kasei, Brown Angel Group, Light Ray Ventures and Unreasonable Collective. The round also included debt and equipment financing from Western Technology Investments and ATEL Capital Group. These parties, who are all existing investors in Plant Prefab, along with the addition of TEMSA, reflect the strong belief in the company’s growth and significant market opportunity.
ABOUT PLANT PREFAB
Plant Prefab is the first Certified B Corporation™ building technology company dedicated to sustainable design, materials, and operations. The company’s patented Plant Building System™ utilizes advanced digital modeling and fully customizable Plant Panels™ and Plant Modules™ to help architects, developers, general contractors, and individuals design and build multifamily and custom single-family homes 20 to 50 percent faster than site-based methods. The system provides better quality control, design flexibility, and time, cost, and material efficiency than traditional methods of offsite or on-site construction. Plant Prefab has factories in Rialto and Ontario, California, a show home in Santa Monica, California, and a fully automated regional production hub in Tejon Ranch, California opening in 2023. With a mission to build a better world by design, Plant Prefab was the first housing prefabricator to announce a net zero goal and has achieved carbon neutrality in their operations since 2020. Plant Prefab is backed by leading investors including Amazon, Asahi Kasei, Gerdau Next Ventures, Obvious Ventures, and others. For more information, visit plantprefab.com.
TEMSA has a long, distinguished history covering 40 years as a structural steel fabricator as part of Group ITTOB, a family holding group with over 950 full-time employees. The company and business group (Trebotti, Gruas Mover and GINN) has grown steadily to become one of Mexico's top industrial construction organizations. In recent years, Group ITTOB has diversified to foreign markets through exports and investments in the United States and Central America. As part of the long-term business strategy, automation process and technology have become relevant to the group. Therefore, TEMSA will open its fully automated steel structure production line by the 3rd quarter 2023.