Key Takeaways
- The Better Meat Co. has secured $31 million in Series A funding to scale its mycoprotein production.
- BMC plans to launch Rhiza mycoprotein by 2026 at prices competitive with U.S. beef.
- CEO Paul Shapiro emphasizes a pragmatic approach to alternative proteins, focusing on scalability and consumer acceptance.
Funding and Future Plans
The Better Meat Co. (BMC) recently announced it has successfully closed a $31 million Series A funding round, which was oversubscribed, to advance its patented mycoprotein fermentation technology. This West Sacramento-based company aims to bring its Rhiza mycoprotein to market by 2026, offering consumers prices lower than U.S. commodity ground beef.
The funding round was co-led by Future Ventures and Resilience Reserve, with participation from various investors, including Epic Ventures and Sigma Ventures. Notably, Glenn Hickman, CEO of Hickman’s Family Farms, will join BMC’s board alongside Future Ventures co-founder Steve Jurvetson.
Paul Shapiro, CEO of BMC, highlighted the company’s progress. “We’ve invented and patented our tech, received regulatory approval, scaled to a demonstration plant, and proven demand exists for Rhiza mycoprotein. It’s now time to fully commercialize and introduce our new crop that will help the protein industry cut costs and improve nutrition,” he stated.
Shapiro has long been an advocate for alternative proteins, especially since his book “Clean Meat” was published in 2018. He recognizes the need for impactful solutions in the protein market, which has led him to focus on mycoprotein over plant-based options, due to limitations such as flavor and supply chain volatility.
BMC has developed a specific strain of Neurospora mycoprotein, which Shapiro claims is “much more meat-like” compared to competitors like Quorn. It has received both FDA and USDA approval and boasts advantages like requiring no freezing and being usable as a single ingredient.
Despite his focus on mycoprotein, Shapiro understands that a complete shift away from animal agriculture is not feasible for most consumers. As such, he supports the idea of hybrid products to ease the transition and showcase early benefits. His previous collaboration with Perdue Farms resulted in the Chicken Plus line, which remains successful after five years.
Shapiro believes that hybridization could significantly impact the meat industry. He suggested that if major fast-food chains incorporated plant-based ingredients into traditional meat products, it could lead to substantial reductions in meat consumption without requiring consumers to alter their purchasing habits significantly.
With the new funding, BMC plans to increase its fermentation facility’s capacity tenfold in preparation for Rhiza’s commercial launch in 2026. Shapiro’s strategic emphasis on scalability and consumer adoption, even in challenging economic times, sets the company on a promising growth trajectory.
As cultivated meat sees renewed interest due to regulatory approvals and amid challenges faced by mainstream plant-based brands, Shapiro’s practical approach demonstrates that understanding consumers and their needs can lead to success in the alternative protein sector. Nonetheless, he maintains a long-term vision, envisioning a future where reliance on conventional meat diminishes as consumers embrace innovative alternatives.
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