Wageningen-based NoPalm Elements, a pioneering Dutch biotechnology firm producing yeast oils, introduced the profitable closure of a €5 million seed funding spherical. The funding was led by Rubio Impression Ventures, and co-led by Oost NL, Fairtree Elevant Ventures, and household workplace Willow Capital Investments with participation from The Netherlands Enterprise Company (RVO) and different personal traders. The funding will speed up the corporate’s mission to supply an area, round, and sustainable answer for the worldwide palm oil market.
Based in 2021 by Lars Langhout and Professor Dr. Jeroen Hugenholtz, NoPalm Elements goals to deal with the environmental and provide chain challenges of standard palm oil, which is present in 60% of grocery store merchandise.
Lars Langhout, CEO & Co-founder of NoPalm Elements, stated: “Palm oil is reasonable, extremely versatile and broadly utilized in nearly each fast-moving client good, out of your toothpaste to my new child’s toddler method. The issue is that international demand for palm oil grows by 4% yearly, and there’s no technique to fulfill the extra 22 million tons wanted by 2030 with out clearing rainforests 1.5 occasions the scale of Eire. With new rules banning deforestation-related merchandise, European corporations can solely supply sustainably licensed palm oil, which excludes 83% of present provides. This can drive worth will increase that can have an effect on each household in Europe. Typically, the reply isn’t to ban a product however to step again and create a superior various that naturally compels a swap. This funding is pivotal for us to display large-scale manufacturing and solidify our position as a trusted companion within the meals and private care industries. We’re on observe for industrialization and commercialization in 2025.”
NoPalm Elements employs a novel fermentation course of utilizing non-GMO proprietary yeasts mixed with a patented low-capex know-how. This course of transforms upcycled, locally-sourced agri-food sidestreams, reminiscent of potato peels and whey permeate, into yeast oils. Suggestions from prospects signifies that NoPalm Elements’ oils are a perfect drop-in alternative for palm oil, requiring no recipe reformulation and attaining worth parity. That is made attainable by way of agri-food sidestreams and an asset-light know-how that’s fast to scale. Moreover, the know-how additionally boasts a 90% discount in CO2 emissions and a 99% lower in land use in comparison with conventional palm oil manufacturing. NoPalm has confirmed their oil high quality with pilot companions together with trade giants Colgate-Palmolive, Unilever, and Zeelandia.
Tijl Hoefnagels, Enterprise companion at Rubio Impression Ventures, commented: “Rubio is worked up to again NoPalm Elements’ mission to allow palm-free and sustainable alternate options for billions of on a regular basis grocery store merchandise. Palm oil pushed land use change threatens catastrophic lack of richly biodiverse equatorial rainforests and is liable for extra emissions yearly than the complete airline trade. Corporations like NoPalm Elements are crucial to stopping additional stress on our strained planetary boundaries.”
Maureen Haverkamp, funding analyst at Oost NL, stated: “NoPalm Elements is a number one pioneer from the Foodvalley ecosystem that’s shaping the Dutch and European various oils and fat panorama, to create a extra sustainable Meals system. Their enterprise mannequin is progressive and interesting to each suppliers and prospects and has a transparent optimistic impression on the atmosphere. We’re proud to spend money on the progressive crew of NoPalm Elements.” Oost NL invests from the Innovatie- en Energiefonds Gelderland, a fund of the province of Gelderland.
David Evans, Managing Director at Fairtree Elevant Ventures, stated: “NoPalm Elements has demonstrated the flexibility to make a cheap drop-in alternative for palm oil and different lipids that we imagine will revolutionise the trade, handle the huge environmental problem of palm oil manufacturing and harvesting in addition to resolve myriad provide chain ache factors for purchasers. Additional, NoPalm Elements’ innovation permits them to upcycle industrial meals waste streams which recovers carbon and creates worth from waste, creating great profit. NoPalm Elements has demonstrated each the technical capabilities in addition to the business partnerships to quickly scale their know-how and make an unbelievable impression throughout a large swathe of trade and we sit up for help them on this thrilling journey forward.”
After a pre-seed spherical in 2022, NoPalm Elements has developed an in-house pilot line producing kilograms of oil per batch and accomplished a number of pilot initiatives with trade giants like Colgate-Palmolive, Unilever, and Zeelandia. The crew is now gearing up for industrial scale-up trials to ship a whole lot of kilograms of oil for buyer testing.
