Precision fermentation agtech company Liberation Labs has closed a $20 million seed funding round led by Agronomics and Siddhi Capital.
The alternative proteins start-up will use the funds to purchase and develop its first commercial scale facility, which will have a fermentation capacity of 600,000 liters.
Precision fermentation uses yeast to produce the same proteins found in eggs and dairy, such as whey and casein, without the use of any animal products or inputs. Liberation Labs aims to begin commercial production at its first facility by the end of 2024.
Other agtech start-ups that use fermentation to develop alternative protein products that are already on sale include Perfect Day, The EVERY Company and Impossible Foods.
Liberation Labs co-founder and CEO Mark Warner said in a statement: “Liberation Labs aims to dramatically increase availability of precision fermentation capacity to meet the rising demand for alternative proteins, fueled by population growth and increasingly health-conscious, impact-driven consumers.
“Our business model enables us to not only meet the demand from today’s traditional food companies but unlock innovation among the dozens of emerging food-tech companies.”
The start-up’s $20 million round also attracted investment from CPT Capital, Thia Ventures, 8090 Industries and Echo.
Jim Mellon, co-founder and executive director at Agronomics, which led the round alongside Siddhi Capital, said the firm believes Liberation Labs “will set a new standard in the industry and usher in a new era of innovation in healthy, sustainable and scalable foods.”
“Liberation Labs has the potential to dramatically accelerate adoption of novel proteins that are increasingly in demand by both existing and next-gen food companies responding to changing consumer preferences,” Mellon said.