Q2 2022 Foodtech VC update

Following a record 2021, foodtech VC has cooled in Q2 2022 amid supply chain volatility, war in Ukraine, and an inflationary environment. Globally, public food and agriculture companies have lost 18% of value year-to-date, dispersion in their performance. This had an impact on private markets.

• In 2022 Q2, global foodtech investment significantly cooled off. With $5.7 billion raised, this quarter is down to levels last seen in 2019.
• The median round sizes across all stages have not yet decreased. In Europe, the median round sizes caught up to the USA ones at Series A/B and Series B+ stages.
• Enterprise software foodtech startups raised the most capital in Q2 2022, overtaking capital-intensive Delivery startups.
• With only 74 exits, this quarter saw fewer exits than any quarter of 2021. There were only no traditional IPOs and 3 SPACs in Q2 2022, the fewest of any quarter since Q2 2020.

In the news

🛒 Grocery delivery app Instacart founder Mehta to step down as chairman. He plans to step down after the company goes public. He will be succeeded by Fidji Simo, the current CEO and ex-head of the Facebook app. -Inside Retail

🛵 Delivr, an Australian challenger to Uber Eats and Deliveroo in regional Victoria, has collapsed into liquidation. Launched in 2017, the company entered into liqudation on July 20th, but it has not yet announced on its website. - SmartCompany

😰 Beyond Meat’s pepperoni problem threatens its fast-food future. More than a year after the partnership with Pizza Hut, Beyond Meat is having difficulties to deliver a new product. -Bloomberg

Latest foodtech deals

Select deals from last week:

🇺🇸 FreshRealm, a US-based B2B fresh meal kit company, raised a whopping $200M from a leading premier global investor that was not disclosed. 

🇺🇸 Meati Foods (formerly Emergy Foods), a US-based producer of protein made by mushroom, secured $150M in Series C funding to expand the production of its product. 

🌿🥩 There are 175 plant-based meat startups that have raised $483M in the first half of this year, a 20% decrease year over year.

Other notable foodtech deals from around the globe: 

🇪🇸 Cuyna, a Spanish dark kitchens company, raised €3M Seed round to expand outside of Spain. The company also raised €20M from LIFT Asset Management to invest in real estate assets. Cuyna plans to build 17 new ghost kitchens in addition to its current 6 locations.

Explore 54 other startups building and operating dark kitchens. 👈

🇮🇹 Ucrop, an Italian blockchain-based traceability platform, bagged $3.1M in Seed funding.

Read up on all the latest foodtech deals in Dealroom.co

Tip of the week

🔎 Finding the right investor

The right investors backing can make or break startups. 40% of startups backed by top quartile investors at Seed go on to raise Series A, compared to just 7% for bottom quartile funds.

Dealroom.co's 2022 Investor Rank is the most comprehensive data-driven ranking of the best VC investors in EMEA. We just released a new report, uncovering new insights into the venture capital landscape, underlying data, trends, and methodology.

Download the full report

Dive in

🗺️ Foodtech investment heatmap

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🦄 110+ Foodtech unicorns and $1B+ exits

Ivan Draganov

Senior Innovation Analyst
Dealroom

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