Ecovative, which focuses on the commercial use of mycelium materials, which are derived from the fibrous ‘roots’ of mushrooms, has raised over $30m to fund the global distribution of what it describes as planet-friendly fashion and food.
Ecovative says its latest funding will support its plans to scale its Forager business into a world-class supplier of sustainable textile and foam products, while $15m of the investment going into MyForest Foods will support its retail growth as its footprint expands across the Eastern Seaboard.
The latest fundraising round was led by Viking Global Investors and includes Standard Investments, FootPrint Coalition Ventures, and AiiM Partners, bringing the total amount it has raised to date to $120m. Citi served as advisors on the transaction.
Over the past year, Ecovative has undertaken substantial measures to scale its sustainable mycelium technologies, including the commissioning of new manufacturing facilities spanning 120,000 square feet. These facilities will facilitate the production of mycelium bacon, textiles, and foams.
The company’s mycelium technologies have applications in various sectors, including fashion and apparel, automotive, food, packaging, and construction.
The mycelium materials are grown using plant fibres and form the foundation of Ecovative’s products and technologies.
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Ecovative explains its materials are fully home-compostable, plastic-free, and cruelty-free so it believes this will contribute towards a more sustainable future.
The company’s mycelium foundry offers a service for testing and developing new materials in collaboration with more than 15 brands and manufacturers, including ECCO Leather, Vivobarefoot, Wolverine Worldwide, Bestseller, Pangaia and PVH Corp, with more yet to be announced.
Former CEO of DSM, Feike Sijbesma, comments: “The innovative products of Ecovative are addressing environmental sustainability goals via a business approach in the food and materials industry.”
In addition, Ecovative says it has established the world’s largest AirMycelium farm and partnered with over 15 leading global brands for fashion and footwear product development. The acquisition of a state-of-the-art raw materials facility in the Netherlands further strengthens Ecovative’s production capabilities. The company has also expanded Mushroom® Packaging with an additional 20,000 square feet of production capacity.
Jon Schulhof, managing partner at Footprint Coalition Ventures states: “Ecovative has shown mycelium’s potential across industries, and demonstrated product-market fits that are already addressing the needs of the Earth. And this is just the beginning, with huge addressable markets and the potential to make real, lasting change for circular manufacturing.”
Bayer adds: “Our goal is to hack capitalism to support Spaceship Earth: building factories that produce clean air, clean water, and healthy soil while growing delightful materials that meet everyday needs and produce extraordinary profits.”
Ecovative says that in recent years there has been a significant surge in the popularity of mycelium technology among brands, manufacturers, and consumers. Ecovative adds that it is actively addressing this growing demand while maintaining its dedication to what it describes as the most promising commercial and environmentally friendly applications.