September 18, 2024

By Gerelyn Terzo, Global AgInvesting Media

Mandalay Venture Partners, which backs agri-food tech companies, is making an expansion push in Australia. The firm has announced dual investments into Queensland’s Nbryo and Haelen Technology/Wholey Milk Company, each specializing in livestock genetics and milk processing, respectively. The deals, the value of which Mandalay is keeping close to the vest, reportedly mark the maiden investment following a capital injection made by the A$130 million (US$88 million) Queensland Venture Capital Development Fund (QVCDF) fund into Mandalay.

Mandalay and sovereign investor Queensland Investment Corporation (QIC) launched a partnership in early 2024. QIC is an LP to Mandalay, with funds committed from the QIC-managed QVCDF being directed into Mandalay’s fund. 

Mandalay Venture’s capital deployment comes on the heels of its recent investment into South Australian agtech Cropify, which it made alongside fellow VC firm Hatcher+. At the time, Mandalay Venture tipped its hand to future investments in agri-food startups. Mandalay’s investments target seed to Series A capital in the agri-food tech space, and it is expected to help catapult Nbryo and Haelen’s solutions into commercialization status.

Mandalay was among a cohort of venture capital firms chosen by the Queensland government for a slice of the QVCDF pie, an investment vehicle designed to back local startups. The fund is structured to match up to A$20 million in funding from approved VCs such as Mandalay Venture Partners, paving the way for the firms to increase their investment size in the region.

With 90 percent-plus of its land dedicated to agricultural production, Queensland is where Mandalay Venture Partners has called home since its founding in 2021. QIC Private Equity Partner Nicholas Guest said that Mandalay Partners plays into the state’s greatest strengthens in ag and innovation, explaining: “Their focus on farm-to-fork, including carbon sequestration, on-farm efficiencies, supply chain automation and future foods taps into such an important sector to the Queensland economy. By coming together to help close the identified early-stage funding gap in Queensland, we can diversify and grow this sector by making more capital available through a stronger local venture capital industry.”

Nbryo’s strategy involves confronting obstacles introduced by the global food shortage, owing to heightened demand for beef, by reducing carbon emissions and supporting sustainability. The company seeks to bring transformational change to livestock industries with its embryo transfer, which it makes available to beef and dairy producers and is considered cost-effective for commercial herds. By bolstering productivity while delivering environmental and animal welfare benefits, Nbryo’s solution has the potential to influence the wider food supply chain with an opportunity for lower methane-producing animals at the embryo stage.

Founded by Jeff Hastings, Haelen has pioneered a non-thermal processing tech that redefines the way milk is processed, delivering health and performance products that are otherwise out of reach with traditional processing. In a nod to Mandalay Venture’s investors, partner Mark Gustowski stated on LinkedIn, “Huge thanks to all of our investors including QIC and The NRMA and the amazing Mandalay team of Timothy Hui, Philippe Ceulen, Saskia Urlass and Elouise Comber for working so hard to get these deals over the line.”

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