Meatless Farm debuts consumer investment opportunity with £5M crowdfunding campaign
14 Jun 2021 --- UK-based plant-based food brand Meatless Farm has launched its debut retail investor funding round with crowdfunding platform Crowdcube to fund expansion and work toward being a regenerative company.
The company will initially be seeking to raise up to £5 million (US$7 million) – expected to be one of the most extensive campaigns conducted on Crowdcube – offering the opportunity to buy into the brand from £10 (US$14.08).
Investments will take the form of a convertible note which converts to shares at a discounted price during the subsequent corporate equity funding round, expected toward the end of 2021.
“By opening up to individual investors at this stage, we can offer the investment opportunity at a time when we have demonstrable momentum and the chance to provide funding which will help drive both Meatless Farm and the category forward, recognizing that big change is only possible when we all work together,” says Morten Toft Bech, founder of Meatless Farm.
Meatless Farm launched in the UK in 2018 and now operates in over 20 countries, including Germany, Spain and the Netherlands.Plant-based booms
Meatless Farm is one of the UK’s top three plant-based brands, alongside established brands such as Quorn and Linda McCartney’s. Meatless Farm recorded 148 percent year-on-year net sales growth in 2020, out-performing a fast-growing category.
The company’s ambition is to build a sustainable global food system that supports and nurtures biodiversity and reduces the world’s dependency on intensively farmed meat.
The brand is not anti-meat or pro-vegan but instead aims to democratize plant-based food by inspiring “meat-lessers” to eat more plant-based food by providing tasty, healthy, affordable ways to make more everyday meals meatless.
This latest milestone in Meatless Farm’s global journey follows a whirlwind start to 2021, starting with the biggest ever sales month in “Veganuary,” new partnerships with high-street lunch mainstays Pret, Leon and itsu and Nathan’s Famous in the US.
In March, the brand launched a global sustainable nutrition drive with football giants Real Madrid, a partnership with world champion cyclist Mark Cavendish to help fuel his winning return to the sport and opening of new plant-protein facilities in Canada and the Netherlands.
Last summer, Meatless Farm invested £1.5 million (US$1.96 million) in its most extensive-ever advertising campaign. The M*** F*** campaign was a step-change for the UK-based vegan brand, which has built a significant following on social media but is now aiming to grow its market share by targeting meat-eaters who swapped during the COVID-19 crisis.
The market for plant-based food is experiencing exponential growth fueled by a growing consumer appetite for alternatives amid increasing awareness of eating less meat’s health and environmental benefits.
This is also in line with Innova Market Insights’ second top trend for 2021, “Plant-Forward.”
“We are reaching a tipping point where replacing meat with plant-based protein a couple of times a week is no longer niche, but we know that it’s people power which will create a full-blown revolution in food culture,” explains Bech.
“That rests on driving awareness around the importance of reducing meat for the environment and the impact that even little changes can have. For example, in a country like the UK, we could reduce around 8 percent of the UK’s total emissions if we all ate just one less meat meal per week.
Potential investors can register their interest from June 14 (today), with the investment open from June 22.
“We want to help accelerate this through the retail and foodservice relationships we have, the countries we operate in and the range of products we offer. Innovation is critical to the category, with taste-, texture- and price-parity with meat the key to unlocking the full potential of the market.”
A backdrop of sustainability
Meatless Farm invests heavily in the entire supply chain, from “farm to fork,” working with farmers, setting up plant protein facilities to produce even better ingredients. The company is also recruiting food development chefs and nutritionists to evolve and improve its products.
The company is also working on new plant-based options such as pizza toppings, chicken, and various snacks and meal solutions.
All of this works against a backdrop of sustainability as the company embeds its commitment to regenerative business growth, work toward B-Corp status and seeks to rebalance biodiversity in the global food system, Bech notes.
This move follows in the footsteps of other plant-based businesses such as Oatly who last month revealed it was aiming for a valuation of approximately US$10 billion as it commences its US public offering.
Meanwhile, Beyond Meat had its IPO in 2019, and Laird Superfood was listed on the NYSE last year. Also, Greek yogurt giant Chobani is reportedly considering going public this year, as is plant-based egg maker and cell-based meat developer Eat Just.
Edited by Elizabeth Green
