Published: Wed, May 15, 2019
Economy | By

Impossible Foods receives $300m in Series E funding round

Impossible Foods receives $300m in Series E funding round

Impossible Foods has raised US$300 million (S$410 million) in a Series E funding round led by existing investors Temasek Holdings and Hong Kong tycoon Li Ka-shing's personal venture fund Horizons Ventures, the food-tech start-up said yesterday.

Similar to Beyond Meat and Impossible Foods, other large chains have also taken an interest within the plant-based meat industry.

The company is now worth $2 billion.

The round brings the total funding raised for the California-based startup to more than $750 million.

The Food and Drug Administration approved Impossible Food's key ingredient to sell its uncooked burgers on grocery shelves this year.

"This is the first time that a plant-based meat alternative has reached the market, and we've seen the incredible response", commented the Good Food Institute (GFI)'s managing director for Europe, Richard Parr. The 59-unit regional test of the Impossible Whopper at Burger King restaurants in St. Louis has gone well; the Miami-based restaurant chain intends to bring the Impossible Whopper to all 7,200 U.S. restaurants at the end of 2019.

Perry, Serena Williams, Jay-Z and Trevor Noah were all part of the latest funding round for the fast-growing plant-based burger company, which needs the cash to keep up with demand for its patties, which have been in short supply.

Even more celebrities like Philly's own Questlove of The Roots has jumped on the Impossible Foods bandwagon with the launch of "Questlove's Cheesesteak".

Impossible Foods also entered the Singaporean market in March 2019, and sales in Asia have increased "more than threefold" since the company entered the market.

"Being ready to go public is a priority for the company because we need to be operating at the highest level of rigor", Impossible Foods' Chief Financial Officer David Lee told Reuters.

With fresh backing, the startup is set to "transform the global food system", he said.

The Impossible Burger is now sold in more than 7,000 restaurants on two continents.

Since January, Impossible Foods has recorded growth in every sales category in which it does business - independent restaurants, large restaurant chains such as White Castle and Qdoba, and non-commercial outlets such as theme parks, museums, stadiums, and college campuses. However, the burger already launched within restaurants back in 2016.

"Sales of plant-based products grew by more than 17% a year ago, according to Nielsen, while other grocery products only grew by 2%", CNBC's Aditi Roy reports.

Beyond Meat made headlines this month when it became the first plant-based meat company to go public on the Nasdaq Stock Market.

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