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Mycorena Food Tech has secured 77 million SEK (approx. US $ 9 million) as part of its pre-series A funding round to accelerate the growth of its mycoprotein Promyc and increase its production. This is one of the biggest investments made in a Nordic vegan startup.
The Scandinavian mycoprotein company Mycorena has closed its pre-Series A funding round, bringing its total external funding to more than SEK 100 million (approximately US $ 11 million).
The cycle was led by the Belgium-based VEOS group, a global supplier of proteins and functional ingredients. Other participating investors included existing investors like FBG Invest and Bånt AB, two of Mycorena’s largest shareholders.
Headquartered in Gothenburg, Sweden, the company was founded as a spin-out of research conducted by founder and CEO Ramkumar Nair.
Protein grown from food waste
Its flagship mushroom-based protein Promyc aims to replace proteins of animal origin. This sustainable ingredient is cultivated by taking secondary foods in industrial processing, which would otherwise be wasted, such as bread dough from bakeries. Currently, the ingredient is produced at the Gothenburg-based company’s pilot fermentation plant.
Promyc can be used as an ingredient in whole cuts, patties, dumplings, hash and nuggets.
Since the start of its operations in 2017, Mycorena has unveiled its first dishes created by chef Oscar Lexö. At present, Promyc is being tested in Scandinavia in a wide variety of vegan products. For example, food technology has launched promyc plant-based nuggets that are gluten-free, high in protein, fiber, zinc and vitamin D.
In a press release seen by Green queen, Nair said, “The capital will be used primarily to prepare the company for rapid commercialization through aggressive expansion of its team, its R&D and intellectual property capabilities, and increased production.
The capital will mainly be used to prepare the company for rapid commercialization through the aggressive expansion of its team, its R&D and intellectual property capabilities and increased production.
Ramkumar Nair, Founder and CEO of Mycorena
Less water, less CO2
The company claims that Promyc’s development uses 8 times less water than conventional chicken. For example, to make 1 kg of chicken, you need 10 tubs full of water while with Promyc, you save more than 8.
Also, compared to a single beef burger that generates CO2 equivalent to a 50 km drive, consumers would have to eat 23 Promyc burgers to create the same amount of CO2.
Robert Slee from VEOS Group said: “I have followed Mycorena for many years and have seen how they have developed as a business. With the changing development of proteins around the world, I have no doubts about the bright future that awaits them. “
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“Several thousand tons” of mushroom protein
Mycorena, which has announced plans to build a new production site in Falkenberg, Sweden, is expected to open in mid-2022. This will be a first of its kind that will provide the food industry with “several thousand tonnes” of mushroom protein by 2022. The new investment will further contribute to achieving the objectives of this project.
Jörgen Hallgren of FBG Invest said: “FBG Invest joined Mycorena at an early stage and mutual trust has long been established between us and the Mycorena team. Sustainable protein is the future of food production, and demonstrating its production on a large scale will take the company much further in its growth.
Several companies use proteins of fungal origin as a replacement for proteins of animal origin. The protein ingredient in Chicago Food Tech Nature’s Fynd Mushrooms, nicknamed Fy, can be used in several meat dishes, dry pasta and noodles. He is backed by Bill Gates and Jack Ma and has received FDA approval to sell his products.
Colorado-based food tech Meati Foods has raised US $ 28 million to improve its fermenting alternative meats that use mycelium extracted from the root structure of fungi.
Main image courtesy of Mycorena.