Innovafeed, a producer of sustainable insect-based ingredients for animal nutrition, pet food, and agriculture, announced a €51 million funding round as it transitions from industrial scale-up to commercial expansion. The financing was largely backed by existing investors and banking partners, including Creadev, QIA, Temasek, FFC, ABC Impact, and ADM.
The company said it has completed the industrialization phase of its business and is reorganizing operations around its Nesle production facility in France. Innovafeed’s strategy now centers on commercial deployment, product innovation, and operational excellence as demand grows for sustainable alternatives in aquaculture and pet nutrition.
Since its previous funding round in 2022, Innovafeed reported achieving several major milestones. The company said its Nesle production site is fully operational and has produced more than 15,000 tons of protein and oil over the past three years. During that period, production volumes increased tenfold while production costs fell by a factor of seven. Innovafeed noted that its production scale is currently three times larger than the world’s second-largest player in the sector.
The company also reported strong commercial momentum, with revenue doubling annually through partnerships with customers using its Hilucia™ product range. Innovafeed highlighted the environmental benefits of its industrial symbiosis model, stating that its products reduce carbon emissions by 70% to 90% compared with conventional alternatives.
As part of its transition into the next stage of growth, Innovafeed plans to consolidate activities from its historical Gouzeaucourt site into the Nesle facility. The reorganization includes a proposed reduction of approximately 60 positions, with around two-thirds of the affected roles located at the Gouzeaucourt site. The company said it will work closely with employee representatives and public authorities throughout the process.
The new funding will support three key priorities:
- Accelerating commercial development of the Hilucia™ product lines, particularly in aquaculture and pet food.
- Investing in industrial equipment and processes to develop new products and applications.
- Optimizing production assets to improve manufacturing performance and capacity.
Creadev, one of Innovafeed’s long-term investors, said the company has built a unique, large-scale industrial platform capable of producing functional ingredients for high-growth nutrition markets.
Innovafeed CEO and cofounder Clément Ray said the company has reached a pivotal point after years of research, development, and industrial investment. He emphasized that the focus now shifts toward expanding adoption of insect-based ingredients and capturing value from their proven functional benefits for animal health and growth.
KEY QUOTES:
“Over the past five years, Innovafeed has won its industrial bet and developed a world-unique asset: a fully operational large-scale production facility that enables highly optimized production of ingredients with functional properties that are valued by pet food and aquaculture players.”
Bénédicte Monpert, Food Managing Director, Creadev
“Since day one, we have carried a dual ambition: to demonstrate that we can produce high-performing, competitive, and sustainable ingredients for nutrition without relying on the intensive exploitation of marine resources; and that it is possible to build an innovative industrial project in France. The successful scale-up of our industrial model marks a major milestone for Innovafeed today and opens up a new phase of commercial deployment. Innovafeed is now focusing its efforts on accelerating the development of value chains for its ingredients, capturing the full value of their multiple functional properties improving animal health and growth, which have been validated and proven for ten years now.
We must also adapt our organization to this new phase by reducing industrial and zootechnical R&D activities, while continuing to invest alongside our customers to demonstrate functionalities and performance of our products. The talents who made up our R&D and industrial teams enabled us to reach unprecedented milestones in the sector. While we must take demanding measures to adjust our organization to this new phase, we are deeply committed to recognizing the dedication of our teams over the past years and to implementing this transformation plan responsibly, in full respect of social dialogue and in close connection with local authorities.”
Clément Ray, CEO And Cofounder, Innovafeed
“Innovafeed’s products represent one of the key solutions for more sustainable and high-performing aquaculture. After many years of studying the benefits of this raw material in the nutrition of sea bass, sea bream, and trout, we have made the decision to use these new ingredients on a very broad scale. This scale-up is made possible today by Innovafeed’s technological breakthrough, which is currently the most advanced in Europe.”
Fabio Brambilla, Ph.D., Nutritionist, NaturAlleva
“The pet food market continues to evolve towards ingredients that deliver both sustainability and functional benefits. Innovafeed’s latest funding round provides a strong platform to accelerate innovation and create new opportunities across the value chain.”
Detmar Barneveld, Commercial Manager, Vobra Special Petfoods
“Innovafeed’s ingredients form the core of our hypoallergenic dog food recipes. The performance and stability of Innovafeed’s products are essential to sustain our strong growth.”
Basile Laigre, CEO And Cofounder, Réglo
