Food Venture Financing News - Weekly Issue No. 54
In This Issue:
- SBA Moves Forward on Restaurant Revitalization Fund
- Food Venture Financing Trends
- CPG Corporate Venture and Private Equity Funds
- Links to Relevant Content and Events
SBA Moves Forward on Restaurant Revitalization Fund
- The Small Business Administration released information over the weekend regarding the $28.6 billion Restaurant Revitalization Fund ("RRF").
- Application requirements, eligibility, and a program guide can be found on the SBA's website.
- The SBA also advised that it will establish a 7-day pilot period and conduct outreach and training ahead of the application launch (which is still unknown), apparently to avoid the technical glitches that affected the SBA's rollout of the Shuttered Venue Operators Program.
Food Venture Financing Trends
The plant-based products industry continues to attract interest from investors and acquirers. Atlast Food Co. and Meati Foods, two alternative meat startups that use mycelium to produce alternative protein products, raised $40 million and $18 million, respectively, to expand production and distribution efforts.
SunOpta recently announced its acquisition of Dream and Westroy, plant-based beverage brands, in a deal valued at $33 million.
Amazon announced the launch of Aplenty, its new private label food brand. Tapping into consumer demand for non-perishable items, Aplenty will include snack items, condiments, and frozen foods.
According to Piper Sandler's semiannual report on teen spending and brand preferences, Generation Z prioritizes food as its top spending habit. Teens are also interested in healthier products with 54% of teens surveyed indicating a preference for healthy snacks and 49% interested in plant-based meat.
Hazel Technologies, an agritech company funded by the USDA that addresses food waste by extending the shelf life of food products, announced that it raised $70 million in its Series C round.
CPG Corporate Venture and Private Equity Funds
This week's featured corporate venture and private equity fund is 7-Ventures.
- 7-Ventures, LLC, is the 7-Eleven® corporate venturing arm focused on discovering, partnering, and investing in startups that complement 7-Eleven's mission of convenience.
- Portfolio companies include:
- KeyMe Locksmiths
- 7-Ventures prefers to invest in companies operating in financial services, on-demand delivery, and consumer packaged goods (CPG product) sectors. Its portfolio companies gain access to the 7-Eleven business system, offering guidance with commercial distribution, operations support, product development, marketing, insights, and analytics.
Links to Relevant Content and Events
- Atlast Food Gets $40 Million for Its Bacon Alternative
- Cultured Decadence Raises $1.6 Million to Make Lobster in a Lab
- Fresh Factory to Acquire Refrigerated Bars Business
- Territory Foods Raises $22 Million in Funding Led by U.S. Venture Partners
- Kemin Purchases Proteus Industries
- Hazel Technologies Raises $70 Million in Series C Funding to Fight Food Waste
- SunOpta Acquires Plant-Based Beverage Brands From Hain Celestial
- Slice Raises $40 Million to Digitize the Independent Pizzeria
- Meat… From Mycelium? Fungi Fueled Startups Meati Foods and Atlast Food Co Raise Cash to Make Holy Grail of Alt Meat: Whole Cuts
- Amazon Launches New Food Brand, Aplenty
- Food Is Gen Z's Top Spending Priority, Survey Finds
For detailed event and registration information, visit this page.
NCN Spring Investor Meeting 2021
Tuesday and Wednesday, April 20-21, 2021
Naturally Bay Area's 2021 Quick Bites Series - Influencer Marketing Trends & Tips
Wednesday, April 21, 2021, 12 - 12:45 p.m. PT
The Rise of Transparency in the Food Supply Chain
Tuesday, April 27, 2021, 8:00 a.m. PT
Food Edge Virtual Summit 2021
May 4 & 6, 2021
Naturally Bay Area's 2021 Quick Bites Series - Category Review Trends With Top Buyers
Wednesday, May 5, 12 - 12:45 p.m. PT
Food Funded 2021 JEDI
May 12, 2021, 10 a.m. - 2 p.m. PT
Expo West Virtual - J.E.D.I Collaborative
May 26, 2021, 9 a.m. - 12 p.m. PT
IGA Announces New Cohort
Project W x Farm to Label's Emerging Food Brand Lab: DWT is excited to announce that Project W is bringing its signature programming to female founders in the food and beverage sector through our first Emerging Food Brands Lab. Developed in collaboration with DWT's Food + Beverage practice, this multi-week program has been crafted to help female founders take their brand to the next level through workshops dedicated to scaling production, optimizing distribution networks, and raising capital. If you know any female founded branded food companies that would be a good fit, encourage them to apply here by May 7th!
Davis Wright Tremaine is proud to partner with OSC2 as a founding member of J.E.D.I. Collaborative. We are committed to creating a more equitable, diverse, and inclusive future in the food and beverage businesses we serve. See our statement here.
Please check out DWT's newly re-launched Startup Law Blog
At DWT, we are proud to have one of the largest Food & Beverage legal practices in the country, with over 40 attorneys representing food innovators, entrepreneurs, and investors at every level of the food chain, from Farm to Label.
Please contact our Food and Beverage team if we can assist you in any way in these unprecedented times.
The facts, laws, and regulations regarding COVID-19 are developing rapidly. Since the date of publication, there may be new or additional information not referenced in this advisory. Please consult with your legal counsel for guidance.
DWT will continue to provide up-to-date insights and virtual events regarding COVID-19 concerns. Our most recent insights, as well as information about recorded and upcoming virtual events, are available at www.dwt.com/COVID-19.