FoodLabs, a Berlin based venture capital and company building firm, has capped its third fund at €105 million, aiming at startups that combine food, health, and climate. The fresh fund arrives at a vital moment when the agricultural sector is responsible for nearly a third of the global greenhouse gases, and food insecurity is aggravating even in Europe, thus, the need for innovation for the entire food system is getting more and more urgent.
Focus on Agriculture, Food Security and Health
The fund plans to direct its resources towards three main areas: agriculture, food security, and health. FoodLabs is investing in farm technologies that improve yields while cutting the environmental footprint in the agriculture area, e.g. more efficient machines, data driven applications, and new user friendly financing methods. Among the examples in their portfolio, we can find Voltrac from Spain that makes electric autonomous tractors and Deutsche Agrarfinanz (DAF), an agri-fintech company offering short-term financing to farmers to increase their liquidity and operational flexibility.
Backed by Corporates and Public Institutions
FoodLabs’ fresh instrument enjoys a broad and top-notch group of investors ranging from strategic corporates to public institutions. Supporters of the initiative are Bitburger Holding, Nestlé, Red Bull, and Landwirtschaftliche Rentenbank, the German state development bank for the rural and agricultural industries. The wide investor universe is a cross sector signal of the growing recognition that food and agriculture transformation is becoming a core strategy.
Founded to Tackle the Climate–Food Nexus
FoodLabs was established in 2016 by entrepreneur and investor Christophe F. Maire. The firm had its origin in a simple but urgent observation: food is at the center of the climate crisis, yet this sector has been far behind others such as mobility, energy, and fintech when it comes to venture-scale innovation. Since then, the company has become one of the most prominent in Europe in the early stage backing of sustainable food and agri-tech startups.
A Hybrid Investor and Company Builder
FoodLabs considers itself not only as an early-stage investor but also a “company builder” that collaborates with founders to improve business models, verify technology, and speed up market entry. Different from conventional venture firms, the team frequently supports startups from ideation to commercialisation, thus, they can be influential in shaping technology roadmaps, pilot deployments, and early industry partnerships.
Portfolio Targets a Regenerative Food System
The idea behind this is to contribute to the establishment of a food system that is not only healthier but also more resilient and regenerative, thus, it would be able to replace extractive production models with climate positive alternatives. This is the ambition that the company’s current portfolio mirrors. Just to mention a few, there is Formo that uses the method of precision fermentation to produce animal-free cheese; Klim, a digital platform that promotes regenerative agriculture practices; and Infinite Roots (formerly Mushlabs), which makes mycelium based meat alternatives for mainstream food markets.
Hands-On Support Beyond Capital
One of the key reasons that FoodLabs can stand out within Europe food-tech scene that is jam packed with players, is its hybrid investment model that merges venture capital and active company building. Besides the funding, the firm offers the founders access to R&D facilities, pilot customers, industry expertise, and manufacturing partners thus, helping the startups in dealing with the regulatory and supply chain challenges of the food sector.
First Cheques for 25–30 European Startups
FoodLabs, with its new fund, looks to make the first investment in 25–30 startups that are found in the European continent and feature initial cheques between $100,000 to $2 million. The firm is particularly interested in deeptech startups spun off from academic research and along with that, scientists who are also entrepreneurs and can bridge the gap between innovation and market execution.
Positioned at the Front of Food System Transformation
FoodLabs is strategically situated at the front line of the European food system transformation, in response to the escalating climate pressures, fragile supply chains, and increasing demands of consumers for food that is both healthier and more sustainable. With new capital and widening institutional support, the company is on a mission to facilitate the transition of breakthrough science into viable solutions that will significantly influence food production, distribution and consumption in the coming decades.