March 26, 2018

The pet food industry is pushing forward in the ever-expanding market for vegan foods, with last week’s $4 million investment in Wild Earth, a biotech startup that has created a meatless dog food designed to reduce the ecological impact of pet food production. Investors include VegInvest, Stray Dog Capital, Felicis Ventures, Blue Horizon, Babel Ventures, EverHope Capital, Macro Ventures, and Aera VC.

Touted as “the new generation of pet food”, Wild Earth’s entirely vegan cultured protein products are made from human-grade Koji, a filamentous fungus (aspergillus oryzae) used in Chinese and East Asian cuisines.

The company’s mission, driven by pioneers in cellular agriculture, is to develop clean high-protein pet foods that are healthier, better for the environment, and more humane than conventional products, according to the Wild Earth website.

A growing marketplace

The U.S. pet food market was valued at $24.6 billion in 2016, and is anticipated to grow to more than $30 billion by 2022. U.S. pet owners spend upwards of $63 billion a year (approximately $23.05 billion was spent on food alone in 2015) on their furry (or scaly) friends, noted the American Pet Products Association, a number that has increased every single year since the association has collected this data, which was in 1994.

Packaged goods companies have wasted no time barking up this investment tree evidenced by many billion dollar deals in the sector, including last month’s $8 billion purchase of Blue Buffalo Pet Products by General Mills, which is expected to be completed this May. Additionally, Mars Inc. bought VCA Inc – a veterinary and dog care firm – for $9.1 billion in September 2017; Smucker acquired Big Heart Pet Brands for $5.8 billion in 2015; and in 2001, Nestlé formed Purina PetCare after it acquired Ralston Purina for $10.3 billion.

By Michelle Pelletier Marshall, GAI Media