Blue Horizon Ventures, a Zurich-based venture capital firm focused on making food more sustainable, has closed a 183 million-euro ($222 million) fund that will invest in startups from alternative proteins to smart packaging. The fund has attracted more than 100 investors and exceeded its initial target of raising 100 million euros. Climate change, a growing population, and most recently the pandemic, have spurred a push for alternative food sources. Hoping to find the next Beyond Meat Inc. – which has surged fivefold since its 2019 initial public offering – investors are tapping the drive to replace meat with environmentally friendly alternatives or tackle problems such as food waste. Much of the investment in food of the future is being handled by venture capital firms.
Blue Horizon drew interest from institutional investors, even obtaining money from two pension funds. Other investors include the European Investment Fund, Mexican food manufacturers Grupo Bimbo SAB de CV and Sigma Alimentos SA de CV, Be8 Ventures Management GmbH and Givaudan SA. Blue Horizon Ventures, where about 90% of the staff are vegan or vegetarian, has so far backed startups such as plant-based meat producer The Livekindly Co. and lab-cultivated meat maker Mosa Meat BV. The firm has plans to launch a second fund in the fourth quarter, which will be slightly larger than the first one.