Rosy, a Los Angeles-based producer of peat-free, carbon-negative potting mixes, has raised $5M in Series A funding led by AP Ventures. The soils use 30% biochar, mycorrhizae, worm castings, and upcycled ingredients tailored for houseplants like monsteras, aroids, and succulents. The capital will scale production for nationwide rollout into all Target stores and develop new blends.
Peat-Free Funding Surges Amid Houseplant Boom
The raise follows Rosy's $3.6M seed round in December 2024, timed with surging demand for sustainable gardening. PittMoss reached a $15M valuation in its Series A last year using recycled paper for peat alternatives, while Back to the Roots has raised $39.7M total for organic kits. Rosy's biochar focus delivers permanent carbon sequestration, capturing over 800 metric tons of CO2 already, addressing peat's wetland destruction better than compost-heavy rivals.
Peat Harvesting Destroys Half-Billion Cubic Feet
U.S. imports nearly half a billion cubic feet of peat annually, devastating carbon-storing bogs and releasing stored CO2. Traditional mixes fail houseplants with poor drainage, leading to root rot in 30-50% of cases for beginners. Peat's acidity suits some plants but harms others like succulents, while mining contributes to 5% of global emissions. Rosy's alternatives eliminate these issues with science-backed formulations developed with soil scientists.
Biochar Enables 30% Carbon Storage Boost
Rosy's mixes contain 30% biochar—far exceeding competitors' typical 2%—for superior water retention, nutrient locking, and permanent CO2 storage, making soils carbon-negative. Specialized blends like Aroid Soil optimize for philodendrons with mycorrhizae for root health, outperforming coir-based options in lab trials. Worm castings and pine bark fines ensure drainage without synthetics. Patents protect these proprietary recipes, validated by HGTV's Best Indoor Potting Soil award.
As founder Chad Massura explained:
"Houseplants let you see the value of biochar."
Soil researcher Jules Giuliano collaborated on blends, confirming 40% better growth in trials versus peat.
AP Ventures Signals CPG Climate Bet
AP Ventures leads this $5M round, marking its first consumer packaged goods investment and betting on biochar's retail scalability. Previous backers from the $3.6M seed validate the pivot from DTC to wholesale. This mix of climate-tech conviction and growth capital positions Rosy for Target dominance, where houseplants stabilize floral sales with higher margins.
$2.82B Market Grows at 7.75% CAGR
The global potting soil market stands at $2.82B, expanding at 7.75% CAGR through urbanization and Gen Z's eco-gardening push. Regulatory pressures on peat mining drive a shift to alternatives, with indoor plants booming post-pandemic. Rosy captures this via retail expansion, contrasting bootstrapped players like Organic Mechanics. PittMoss and Back to the Roots highlight VC interest, but none match Rosy's verified carbon negativity.
Exit-Proven Founder Drives Retail Scale
Founder CEO Chad Massura co-founded EnvoyNow, a campus food delivery app acquired by JoyRun (Walmart subsidiary) in 2017. His Head of Growth role at Everytable honed sustainable food scaling, mirroring Rosy's DTC-to-Target trajectory. This repeat entrepreneur's expertise in consumer products fuels the biochar mission, blending business acumen with family gardening roots.
Target Rollout Targets Commercial Expansion
Rebranding hits summer 2026 alongside full Target penetration. Plans include outdoor blends and commercial agriculture pilots, building on TPIE 2026 booth presence and HGTV acclaim. With 800+ tons CO2 sequestered, Rosy eyes broader biochar adoption in retail.