“Since we can see the whole life cycle of the greenhouse, we can think about it holistically"

Over the past year, the horticulture supplier BFG Supply has acquired four companies with a precise goal in mind: expand their network, products, and distribution capabilities. “The first acquisition we completed was Gard’n-Wise in December ‘20,” Dave Daily with BFG says. “And then, in March ’21, we acquired L&L Nursery Supply. The rationale behind these acquisitions was to expand in the Western US: with Gard’n-Wise, we entered the Mountain West region, while with L&L, we gained a foothold on the West Coast.”

David Daily

At the same time, there was something more than merely expanding the company’s reach. “BFG’s reach ended where those companies started,” Dave continues. “Gard’n-Wise and L&L provided us with additional warehouses in key locations, which is crucial to serving growers in a timely fashion.”

Entering the greenhouse manufacturing game
After these two, BFG proceeded to acquire another company and not because of the distribution network. “We had a close relationship with DeCloet Greenhouse Manufacturing,” says he. “We sold many of their structures throughout the US market. But then, we thought that if we owned DeCloet, we would be better positioned as a true designer and manufacturer of high-quality greenhouses, making us a true one-stop-shop supplier to the horticultural market.”

That is indeed a quite relevant point because oftentimes growers find themselves juggling between pieces of equipment provided by different suppliers. “Since we can see the whole life cycle of the greenhouse, we can think about it holistically, and provide the best-customized design for a grower’s needs, regardless of the crop they are growing. This is because there are things that we know a grower should design into the greenhouse early on. For instance, where you store early order media, or how the crop and labor move throughout the facility. These are all things that need to be fine-tuned if a greenhouse is striving for efficiency.”

The latest acquisition, eyeing the future and sustainability
Finally, BFG has recently announced their last acquisition: Greenhouse Megastore. “This acquisition also allows us to better serve our growers by having products closer to them. Megastore not only gives us that, but it also provides access to a new market segment. Megastore indeed serves smaller growers and hobbyists, and they have particular expertise to work with hobbyists,” Dave points out. “Our mission is to be the leading distributor to the greenhouse industry: additional geography, additional product; our plan is to continue to grow.”

And admittedly it does look as if the horticulture industry is poised for growth, considering the focus on global challenges like climate change and the food supply chain. “The industry is seeing a lot more investment,” he points out. “And there is a growing interest in high-end sustainability. The trade-off is that such a greenhouse is going to cost more upfront: a grower needs more Capex to put on more sustainable systems, that for instance reuse the water, or optimize lighting usage. At the same time, the trend we are seeing is that growers want to go that route and do what’s necessary to produce a high-quality and sustainable greenhouse product.