The U.Okay.-based vegetarian frozen meals firm Sturdy Roots has picked up $18.three million in funding from the personal fairness agency, Goode Companions, because it seems to be to broaden its U.S. presence and construct out its technological capabilities.
Suggested by world mid-market funding financial institution, Alantra, Sturdy Roots has a presence within the U.S. in retailers together with Goal, Wegmans and Entire Meals, and within the UK at Tesco, Asda, Sainsbury’s and Marks and Spencer.
Neither a direct to client firm nor a novel know-how developer, Sturdy Roots is hoping to make use of the brand new financing to broaden its analysis and growth efforts to offer extra practical meals and vitamins, in line with chief government officer Samuel Dennigan.
The corporate is on observe to maneuver $50 million value of frozen vegan meals gadgets within the calendar 12 months, and it expects its gross sales to greater than quadruple over the following 4 years.
The corporate’s distinctive progress comes at a time when shoppers globally are in search of wholesome choices. Sturdy Roots provides a spread of tasty plant-based meals designed for busy lives. Present in your freezer aisle, the award-winning line contains premium root greens, veggie burgers and freezer favorites like Cauliflower Hash Browns.
The corporate has discovered a powerful accomplice in Goode Companions, whose earlier investments embody AllSaints and La Colombe.
Dennigan’s profession in agribusiness stretches again 15 years, however his household has lengthy been within the meals manufacturing and distribution enterprise.
“I began working with some worldwide manufacturers within the late nineties and noticed how CPG corporations have been doing issues in a poor approach,” says Dennigan. At first the corporate thought it will go after contemporary meals, however noticed extra alternative within the frozen meals aisle.
Sturdy Roots started promoting its frozen meals in 2015 simply because the vegan and well being meals craze started to surge.
Whereas the corporate has spent the previous 4 years increase a model as a vegan various in frozen meals, Dennigan is now able to broaden into different classes. “The items of IP which are going to be developed and positioned in market within the subsequent 12 months particularly across the fortification of the merchandise,” he says. “What our analysis is exhibiting us is that there’s an enormous alternative between extruded and meals and what we’re doing.”
Dennigan is, after all, referring to corporations like Past Meat and Inconceivable Meals which have constructed protein alternative companies over the previous ten years and have surged into client consciousness with large offers at quick meals chains (and no small quantity of kerfuffles).
The success of these two corporations has arrange a feeding frenzy amongst buyers who’re voraciously scarfing up vegetarian meals corporations so as to add to their portfolios.