By Lynda Kiernan-Stone, Global AgInvesting Media
Green Circle Capital Partners has launched their venture capital division with a first close for Green Circle Foodtech Ventures I (GCFV), anchored by an investment from 199 Ventures, the venture company of Hormel Foods.
With a fundraising target in place of $25 million, GCFV is planning to consider Seed and Series A investments in companies disrupting the foodtech ecosystem, with expectations of making about 12 commitments to sustainable, tech-enabled enterprises. Once in the portfolio, each company will receive expert advice and assistance in growing their business, thanks to Hormel’s backing.
Based in Austin, Minnesota, Hormel Foods is a global branded food company with more than $11 billion in annual revenue across 80 countries worldwide. The company’s brands include iconic names such as Planters®, SKIPPY®, SPAM®, Hormel® Natural Choice®, Applegate®, Justin’s®, Wholly®, Hormel® Black Label®, Columbus®, along with 30 others.
The company is a member of the S&P 500 Index and the S&P 500 Dividend Aristocrats, and has gained widespread respect and recognition, having been named to the “Global 2000 World’s Best Employers” list compiled by Forbes for three years, is one of Fortune magazine’s most admired companies, and has been included in “The 100 Best Corporate Citizens” list issued by Corporate Responsibility Magazine for 12 years.
“Having a leading global branded food company in our corner, providing support and resources for portfolio companies, is incredibly exciting and opportune for us and for the companies in which we will invest,” said Stu Strumwasser, founder of Green Circle, and co-managing partner, GCFV. “The experience in food production, distribution, and marketing, and the global resources Hormel Foods can provide to support our portfolio companies could be the difference between a cool idea and a dominant technology or tech-enabled CPG brand of the future.”
Green Circle Capital Advisors, the investment banking advisory division of Green Circle Capital Partners, has been supporting natural produce companies in the food, beverage, and supplement categories since 2013. And in 2019 Green Circle took its first steps into principal investing, when it co-led the Seed round for The Better Meat Co.- a leading producer of mycelium-based protein.
It was this experience that eventually led to the formation of the Fund.
“The manner in which industry makes and distributes food has not kept pace with technology advances and, as a consequence, without significant investment and change the industry will be unable to keep up with the needs of a growing, global population while operating sustainably,” said Strumwasser. “We are seeking out technologies that can help bridge the gap between sustainable food supply and population growth—while offering what we believe is tremendous financial opportunity to our collective stakeholders.”
Graham Anderson, co-managing partner of the new venture capital division of Green Circle, discussed some of the key technologies that GCFV will look to invest in, saying, “GCFV will focus on certain segments of the Foodtech ecosystem including but not limited to alternative protein, fermentation, food safety, shelf-life extension, food production automation, bioplastics and sustainable packaging, and plant-based ingredients. GCFV will remain fully independent in terms of decision-making authority and investment methodology.”
Bryan Kreske, leader of the newly created 199 Ventures unit at Hormel Foods, added, We are excited to be investing in the fund and all that it will do to help jump start this growing category. Since committing to invest in the Fund, we are looking forward to the many areas of investment including alternative protein and plant-based foods.”
– Lynda Kiernan-Stone is editor 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 Oilseed & Grain News. She can be reached at lkiernan-stone@