Lever launches China alternative protein fund

Lever China Alternative Protein Fund will leverage support from a number of industry specialists, including Lever Foods, a Shanghai-based consultancy associated with the GP, and the venture units of food and beverage companies COFCO and Yili. It is not clear if these groups will make formal LP commitments. 

China Plant-Based Foods Alliance will also partner with the fund alongside alternative protein ingredients and services companies Givaudan and Cremer. Meanwhile, Brinc, a Hong Kong-based accelerator with a strong focus on manufacturing, will provide a three-month accelerator program on a rolling basis for interested portfolio companies at its facilities in Guangzhou. 

The fund will invest RMB40 million during the next four years in early-stage companies focusing on the mainland China market, with up to RMB160 million is planned for follow-on investments. Lever VC will run due diligence, and once investments are made, Brinc will support growth plans in China. Brinc's Food Technology Accelerator, launched last year, is said to be the first of its kind in Asia.

"We will now be extending that platform to China focused founders who will be able to make a difference with localized products in what is poised to become the world's largest alternative meat market, thanks to our partnership with Lever VC," Manav Gupta, founder and CEO of Brinc, said in a statement. 

Brinc has invested in 15 food tech start-ups to date, including Phuture Foods, which has developed a plant-based alternative to pork that has a complete amino acid profile and is halal certified. Portfolio companies also include plant-based ingredients supplier Grounded and fish-based food products maker Avant Meats, both of which are backed by Lever VC.

Lever VC was founded in 2018 by Lawrence Chu and Nick Cooney, who were early investors in US category leaders Beyond Meat and Impossible Foods. The firm claims to be the first non-mainland VC to invest in alternative protein start-ups in mainland China and the first to invest in cell-cultivate meat in China. It launched its debut fund last year with a target of $50 million. That vehicle is co-managed by Hong Kong's BlackPine Private Equity.

Investment in food innovation is surging on the back of several trends related to food safety concerns, environmentalism, and increased health consciousness that are seen as particularly attractive in China. Recent fundraising activity in this space includes Big Idea Ventures, a specialist investor based in Singapore and the US, launching its debut fund with a target of $50 million.

• Tweet  
• Facebook  
• LinkedIn  
• Google plus  
• Save this article  
• Send to  

• Topics
• Greater China
• Consumer
• Cleantech
• Venture
• China
• seed
• manufacturing