September 6, 2023

By Lynda Kiernan-Stone, Global AgInvesting Media

Biotech company ViAqua Therapeutics announced it has closed on $8.25 million in funding led by S2G Ventures, with participation from Rabo Ventures, The Trendlines Group, Agriline Limited, Nutreco, I-Lab Angels, and Circle Investments. 

A major hurdle holding back the shift toward a sustainable aquaculture industry is the prevention and treatment of disease. Based in Israel, ViAqua is a biotechnology developer of an orally delivered RNA-particle platform to improve the health of aquaculture animals. The company’s initial therapeutic uses a proprietary double-strand RNA (dsRNA) particle encapsulation that triggers an anti-viral RNAi response in shrimp cells to fight and suppress White Spot Virus (WSSV) – the cause of $3 billion in annual losses and a 15 percent reduction in global shrimp production. 

As the global population grows, economies strengthen, and consumers continue to become more health-conscious, shrimp has been identified as a key product in meeting the rising demand for sustainable protein thanks to its low-calorie, high-protein content, short production cycle, and high feed conversion rate. But for this segment of the aquaculture industry alone, disease management is the single biggest issue, resulting in more than $8.5 billion in economic impact, according to data from Kontali. 

Addressing this problem is ViAqua, which has developed a biotech-based oral delivery platform for the targeted administration of RNA-based solutions to improve disease resistance in aquaculture production systems. 

“Oral delivery is the holy grail of aquaculture health development due to both the impossibility of vaccinating individual shrimp and its ability to substantially bring down the operational costs of disease management while improving outcomes,” said Shai Ufaz, chief executive officer, ViAqua. “We are excited to bring this technology to market to address the need for affordable disease solutions in aquaculture.”

The global shrimp market is expected to grow to a value of US$69.35 billion by 2028, making it one of the most highly traded seafood species in the world, according to data from Research and Markets. Likewise, Rabobank anticipated that 2023 will be a record year for global shrimp production with global output having the potential to reach 6 million metric tons, and Ecuadorian shrimp production on pace to see growth of 18-30 percent this year. 

But, because shrimp lack an adaptive immune system, they are very susceptible to disease, and there are currently no products available that address this challenge. 

ViAqua’s first product aims to fill the need as a feed supplement that enhances resistance to viral infections in shrimp, with the initial target being White Spot Virus (WSSV), giving farmers much-needed production stability while also creating an opportunity to increase output per farm without increased risk. 

“We are truly excited by the potential of ViAqua’s technology because of the value it unlocks for the planet and the farmers,” said Shishir Sinha, investment director, Rabo Ventures. “Diseases cause mortality rates of up to 50 percent, which result in 25-30 percent of shrimp farms failing annually. This is tremendously unproductive and hurts a lot of livelihoods.”

“Our bank’s aquaculture specialists Gorjan Nikolik and Novel Sharma were impressed by the game-changing impact potential of having a solution for an issue that has plagued the sector for decades and can make a meaningful difference in the lives of the smallholder farmers, who represent 80 percent of supply.”

ViAqua explained that it produces its capsule products using commercial, industrial processes and is scaling production to bring its first product to market beginning in India at the beginning of 2024. 

Toward this goal, the company has formed a commercial partnership through a joint development and marketing agreement with Skretting, a Nutreco company, for commercialization. And while ViAqua is currently focused on shrimp production, this technology has the potential to expand to multiple applications both in aquaculture and beyond. 

“Aquaculture is critical for the sustainable supply of marine protein,” said Kate Danaher, managing director, S2G Ventures’ Ocean and Seafood Fund. “ViAqua’s platform technology will enable the company to move beyond WSSV to address numerous other diseases in aquaculture while similar technologies are still years away from reaching the market.”

~ Lynda Kiernan-Stone is editor in chief with GAI Media, and is managing editor and daily contributor for Global AgInvesting’s AgInvesting Weekly News and  Agtech Intel News, as well as HighQuest Group’s Unconventional Ag. She can be reached at lkiernan-stone@globalaginvesting.com.

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