May 13, 2020

By Lynda Kiernan

Yamaha Motor Ventures & Laboratory Silicon Valley Inc., the strategic business development and investment arm of Yamaha Motor Co., has announced investments in two different agtech startups within a week’s time. 

Strella Biotechnology

On May 4 it was announced that Yamaha Motor Ventures co-led an oversubscribed $3.3 million Seed round for Pennsylvania-based startup Strella Biotechnology along with Catapult Ventures. Also participating in the round were Union Labs, Mark Cuban, Red & Blue Ventures, and supply chain pioneer Art Mesher. 

Led by company CEO Katherine Sizov, Strella Biotechnology combines novel IoT biosensors with actionable insights to provide the missing data needed for supply chain optimization to maintain maximum freshness for fruit.

With the goal of reducing the $1 trillion in global food waste, Strella Biotechnology uses proprietary biosensors with Internet-of-Things capabilities to offer a data-driven approach to ensuring fruit quality through all segments of the supply chain. This insight in the form of shelf life predictions, allows produce companies the ability to increase margins and decrease shrink, while also lowering carbon emissions and strengthening their sustainability profile.

“Yamaha Motor remains keenly interested in teams applying innovative approaches to improving quality and increasing efficiency within the global food supply chain,” said Nolan Paul, partner and Global Ag Tech Lead for YMVSV. “Strella Biotechnology takes on the real-world challenge of food waste in a simple, yet sophisticated, technological approach that is already making a difference in delivering more, higher quality produce to consumers.”

Leveraging the $100 million Yamaha Motor Exploratory Fund, this investment in Strella aligns with YMVSV’s portfolio of companies focused on developing solutions that answer to the challenges faced by our food supply chains. 

This funding will be used by Strella for product expansion into the retail distribution market, and to refine its on-pallet sensor technology to allow data streaming throughout transportation, resulting in better product selection by distributors and product quality at point of delivery to supermarkets.

To-date the company has monitored approximately 150 million fruits in the packaged segment of the supply chain, and fruit packers are using its technology to predict fruit maturation in storage and to schedule shipments to retailers. This ability is key to reducing food spoilage, particularly in segments of the supply chain where fruit can be stored for up to a year to accommodate for demand. 

“This is an incredibly exciting time in the life cycle of Strella Biotech and to have Yamaha Motor Ventures as a partner to help deliver our food waste solution to the global market is very validating,” said Sizov. “Gaining access to both funding and expertise from Yamaha will help us scale and evolve our ethylene-sensing IP and we look forward to our path forward together.”

The Yield Technology Solutions Ltd.

One week after Yamaha Motor Venture’s investment in Strella Biotechnology, Yamaha Motor went on to announce it has led an $11 million initial funding round for Australian agtech startup The Yield Technology Solutions Ltd.

Based in Sydney, The Yield is an award-winning startup working to transform farming practices for irrigation-intensive crops with its scalable digital technology. Combining hardware, data analytics, AI, and user-friendly apps, The Yield works closely with growers to design products that solve real challenges in the field and throughout the supply chain. 

“With so much activity in the ag tech market, we’re delighted to be identified and valued by a specialty crops domain expert like Yamaha Motor Ventures,” said Ros Harvey, founder and managing director of The Yield. “Our technology is poised to make a significant impact on the productivity and profitability of corporate growers, beginning with those here in Australia and New Zealand.”

Using sensing technology, The Yield can offer custom intelligence and data analytics to help producers of irrigated crops better understand and manage their microclimates; to optimize inputs such as water, chemical applications, and labor for the best impact; to mitigate risk and prepare for horizon events; and to increase operational efficiency.

“Our strategic investment approach to the global agriculture sector, centered on precision solutions and hyperlocal management of crops, led us to The Yield and its impressive ability to deliver actionable agronomic insights to the specialty crop industry,” said Paul. “The Yield collaborates closely with sophisticated growers to drive clear ROI across a range of high-value crops. This investment opportunity is a key synergistic addition to the Yamaha Motor Ventures portfolio.”

– Lynda Kiernan is Editor with GAI Media and daily contributor to the GAI News and Agtech Intel platforms. If you would like to submit a contribution for consideration, please contact Ms. Kiernan at lkiernan@globalaginvesting.com.