Capital Acquisition for Better Meat Co: "Around $31 million has been secured in Series A funding, with the owner of the company likening the struggles of running a startup in their line of work to participating in the drama series Squid Game."
The Better Meat Co Secures $31 Million Series A Round for Commercial-Scale Mycoprotein Production
The Sacramento-based startup, The Better Meat Co (BMC), has successfully closed a $31 million Series A round, marking a significant step forward in its mission to revolutionize the alt-protein industry.
Co-led by Future Ventures and Resilience Reserve, the round also saw participation from Epic Ventures, Sigmas Group, and Glenn Hickman, CEO of Hickman's Family Farms. Steve Jurvetson of Future Ventures and Glenn Hickman have also joined BMC's board of directors.
BMC's flagship product, Rhiza mycoprotein, is a non-GMO whole food fermented ingredient made from Neurospora fungi species. This innovative mycoprotein does not require the cold chain, making it easier to use and cheaper to store and transport.
The new funding will allow BMC to increase production of Rhiza mycoprotein to commercial scale, enabling it to boost production of its patented tech tenfold. This increased production will enable BMC to meet the growing demand for sustainable, cost-effective alt-proteins.
Rhiza mycoprotein has a fibrous texture that does not require significant downstream processing or extrusion. It can be dewatered to a moist cake format and dehydrated, resulting in a product with an 18-month shelf-life that can be shipped at ambient temperatures and rapidly rehydrated at customers' facilities.
BMC's strains have been successfully tested on multiple feedstocks, including brewers' spent grains and potato peelings, but are not limited to any specific feedstock. This flexibility allows BMC to adapt to a variety of production environments and feedstock sources.
Rhiza mycoprotein has a protein content of 45-50% by dry weight with a protein digestibility (PDCAAS) score of 0.87-0.96, similar to animal proteins like casein and egg. This makes it a nutritious and sustainable alternative to traditional animal proteins.
BMC aims to sell Rhiza mycoprotein at prices lower than US commodity ground beef within 2026. Steve Jurvetson, cofounder of Future Ventures, believes BMC's technology is the most cost-effective approach to alt-protein in the long term. He claims that BMC's technology beats beef on cost and will soon beat chicken, and it scales more rapidly and cost-effectively than other approaches can ever achieve.
BMC has executed five signed LOIs for future orders from some of the biggest meat companies. Additionally, the company has gained approval from the USDA for inclusion in animal meat, a first in the mycoprotein space. With these achievements, BMC is well-positioned to make a significant impact on the alt-protein industry.
Despite facing multiple challenges including litigation, bank collapse, and a difficult investment climate, BMC has never conducted layoffs. This resilience and commitment to its mission are a testament to the company's dedication to creating a sustainable and cost-effective alt-protein solution.
With the success of its Series A round, BMC is poised to take its Rhiza mycoprotein to new heights and make a positive impact on the alt-protein industry. The future looks bright for this innovative startup.
