Dutch biotech startup NoPalm Ingredients, which specializes in using non-GMO proprietary yeasts and low-capex technology to convert upcycled agri-food sidestreams into yeast oils, has raised €5 million in a seed round led by Rubio Impact Ventures, with participation from Fairtree Elevant Ventures, Oost NL, Willow Capital Investments, and the Netherlands Enterprise Agency (RVO).
- Founded in 2021 by Lars Langhout and Jeroen Hugenholtz, NoPalm Ingredients produces microbial oils through its unique fermentation process. Utilizing non-GMO proprietary yeasts and patented low-capex technology, the company converts upcycled, locally-sourced agri-food sidestreams such as potato peels and whey permeate into high-quality yeast oils, aiming to replace palm oil in consumer products.
- The startup team at NoPalm Ingredients comprises 25 members and has formed partnerships with leading industry firms, including Colgate-Palmolive, Unilever, and Zeelandia. Additionally, the company reports that its technology achieves a 90% reduction in CO2 emissions and a 99% decrease in land use compared to traditional palm oil production.
Details of the deal
- The investment was led by Rubio Impact Ventures, an Amsterdam-based venture capital firm that supports Dutch and European startups through seed or Series A financing. Rubio Impact Ventures focuses on scalable solutions in three thematic areas: circular solutions, people power, and healthy systems.
“Rubio is excited to back NoPalm Ingredients’ mission to enable palm-free and sustainable alternatives for billions of everyday supermarket products. Palm oil driven land use change threatens catastrophic loss of richly biodiverse equatorial rainforests and is responsible for more emissions every year than the entire airline industry,” venture partner at Rubio Impact Ventures, Tijl Hoefnagels, stated.
- The fresh funding round also saw participation from Dutch VC Fairtree Elevant Ventures, Apeldoorn-based Oost NL, Willow Capital Investments, and the Netherlands Enterprise Agency (RVO).
- The capital raised will enable the company to advance its mission of providing a local, circular, and sustainable solution for the global palm oil market.
“This funding will help us scale to 50m³ this year, positioning NoPalm Ingredients as a trusted partner in the food and personal care industries and preparing for the final investment decision on our demo factory,” co-founder and COO at NoPalm Ingredients, Prof. Dr. Jeroen Hugenholtz, commented.
