Finnish biotech company eniferBio has successfully raised an €11 million series A funding round. This funding round was led by Aqua-Spark with Tesi (Finnish Industry Investment) and Valio, Voima Ventures, and Nordic Foodtech VC also joining the round.
With the new funding round funding, the company will begin to scale up the production of its PEKILO mycoprotein powder to thousands of tons per year and seek Novel Food approval from the EU and other markets.
The world is now facing the seemingly insurmountable challenge of doubling the protein supply by 2050 to answer the demand from a larger and wealthier global population while at the same time decreasing carbon dioxide emissions from the food value chain. And the production of traditional animal- and plant-based proteins cannot be doubled without the planet boiling over, and the world therefore urgently needs novel innovative sources of protein.
PEKILO is known as a fungus that – through a special fermentation process – can produce a dried powder rich in protein and has a vast variety of usage cases like pet food and aquafeed. And the process was originally developed by forestry industry scientists in the 1960s in Finland to produce cost-efficient animal feed protein from side streams of the pulp and paper industry.
Plus using the same – yet enhanced proprietary technology and fermentation process – eniferBio can upcycle by-products from diverse agri-, food- and forest industry processes into its PEKILO mycoprotein – which consists of up to 70% protein, 20–30% of good-quality fiber, about 10% of fats and minerals, and has a high concentration of vitamin B. This production process is efficient, uses very little water, does not require large land areas, and does not cause eutrophication like traditional agriculture.
Statista estimates that humans consumed 160 million metric tons of farmed and wild fish in 2021. And aquaculture production has overtaken the wild fish catch and is the most rapidly expanding food production sector, requiring huge amounts of new high-quality protein feeds. Soy has become a common feed ingredient with Brazilian soybean production increasing and estimated to reach around 152 million tons in 2021/2022. And by comparison, PEKILO mycoprotein has a lower carbon footprint than soybean – which offers a sustainable alternative for the European market that is currently heavily reliant on imported soybeans.
eniferBio has ongoing partnerships with big global companies in the feed and food industries like Skretting, the global aquafeed division of Nutreco, Purina for pet food, and Valio for consumer food products. And its next big phase includes developing products fit for consumers through collaboration with Valio, a brand leader in Finland and a major player in the international dairy ingredients market.
After nearly three years after the company spun out from VTT Technical Research Centre of Finland, eniferBio is now ready for scaling up its operations by building industrial production plants and applying for permission to spread mycoprotein usage into new products and markets.
KEY QUOTES:
“We are extremely excited to have our new investors Aqua-Spark, Tesi, and Valio join us on our mission to feed the world with sustainable protein. Together they put a huge amount of new sector-specific know-how and networks at our disposal. We’re also glad to see our long-term backers Nordic Foodtech VC and Voima Ventures double down on their bets and show their continued support for our vision.”
“We have a product that turns today’s waste into a high-value ingredient. We can provide the world’s most competitive protein production process and a product that has been tested on an industrial scale for over 15 years. We are now ready for the next phase of scaling our production and product use cases.”
- CEO and cofounder of eniferBio Simo Ellilä
“We are very excited to work with eniferBio to scale PEKILO® as a positive ingredient in the sustainable aquaculture feed of the future. Greening aquaculture feed by eliminating our reliance on wild ingredients and reducing our footprint is one of our biggest priorities in getting to a more sustainable aquaculture industry. EniferBio’s alternative feed ingredient serves as a replacement for soy in aquafeed. It significantly reduces land and water usage. Furthermore, early trials suggest that it has the potential to improve growth performance and immune response in fish.”
- Lissy Smit, CEO of Aqua-Spark
“New, plant-based sources of protein are gaining interest amongst consumers and demand is growing worldwide. In addition to traditional food production, we also need new ways of producing food that promote the circular economy. eniferBio is a cutting-edge research company that has developed new ways of utilizing the food industry’s side streams in the production of protein. We want to strengthen our cooperation and be involved in developing new ways of producing food to meet the growing global demand for food.”
- Tuomas Salusjärvi, Executive Vice President, Growth Businesses and R&D at Valio
”Production of alternative protein sources has been estimated to have the best positive climate impact in relation to the invested capital. The company is on the forefront of local foodtech startups, and it possesses a verified technology, which the team has managed to commercialize. The company is a fine addition to Tesi’s portfolio regarding sustainable food production.”
- Jan-Patrick Haikkola, Investment Manager at Tesi
