Following a record 2021, foodtech VC has cooled in Q1 2022, amid supply chain volatility, war in Ukraine and an inflationary environment. Our Q1 foodtech reports dives into the latest trends and venture dynamics.
$1.1T industry. Foodtech companies declined in value by 8% since the end of 2021, driven by volatility among public foodtech companies. But the overall foodtech ecosystem is still up +45% since Dec 2020.
$9.2 billion raised in VC. This Q1 2022 total is down 16% year on year. India grew fastest among major markets, with the US, Europe and China slowing. Food delivery was the most funded category, and pet food the fastest growing, while online supermarket funding retreated following pandemic-driven highs.
Delaying exits. With only 84 exits, it was a quiet quarter for M&A and IPOs. There were only 4 traditional IPOs and no SPACs, and companies put public plans on pause.
๐บ๐ธ Jรผsto, a New Mexico-based online grocery retailer, raised $152 million in Series B led by General Atlantic. The new capital will be used for geographic expansion within Brazil, Mexico, and Peru. As mentioned in our Q1 2022 report, online grocery is the second most funded category with $1.5 billion. Have a look at the complete online grocery landscape.
๐ฉ๐ช Choco, a Berlin-based B2B marketplace connecting restaurants with supplies, became a unicorn following a $111 million Series B funding. As we've written before, B2B marketplaces in food and agriculture are one of the fastest growing segments.
Other notable foodtech deals from around the globe:
๐ฎ๐ณ Bigbasket, an Indian online grocery retailer, raised $131 million. BigBasket was acquired in February 2021 by Tata Group for $1.9 billion.
๐ซ๐ท UMIAMI, a France-based plant-based meat company, raised $30 million in Series A funding. Explore 170+ other plant-based meat companies in this interactive landscape.
๐ฌ๐ง Better Origin, a UK-based insect protein company raised $16 million to convert food waste into animal feed. There are 50+ other companies working on insects products for animal consumption.
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