December 4, 2020

By Lynda Kiernan, Global AgInvesting Media

Founded in Helsinki in 2017 as a spin-off from a VTT and LUT research program, Solar Foods uses a unique bioprocess similar to that used to make beer or wine to create natural protein using only air and electricity as raw materials.

Using renewable energy and air-captured carbon dioxide (CO2) in a complete and continuous mode, the company makes Solein®, an entirely novel type of nutrient-rich protein that has the potential to revolutionize food production, as it’s not reliant on agriculture, requires no irrigation, pesticides, fertilizers, open land, or animals, nor is it at the whims of the weather.

This sustainable and natural product contains all essential amino acids, is approximately 65 percent protein, carbs, and fats, has a light taste and appearance, can be easily mixed into any meal, and can be produced in any conditions including deserts, the Arctic, or even in space. (The company is collaborating with the European Space Agency to explore applications for Solein by astronauts.)

In September of this year Solar Foods raised  €15 million (US$17.66 million) to close its Series A at a total €18.5 million (US$21.8 million). 

The round, which was led by Finnish food producer Fazer Group and included Bridford Investments Limited, Agronomics Limited, Lifeline Ventures and CPT Capital, represented the largest food tech funding round in Finland’s history to-date.

Now the company has announced that it has secured a further €4.3 million (US$5.1 million) in funding from Business Finland, the country’s organization for funding innovation and trade. 

“Ever since the founding of Solar Foods, we have enjoyed fruitful cooperation with Business Finland,” said Dr Pasi Vainikka, CEO and co-founder, Solar Foods. “We are extremely happy about Business Finland’s follow-on capability during the growth of companies like us.”

With this commitment Business Finland has lifted the company’s total funding to-date to €24.8 million (US$30 million) and has given the green light to Solar Foods’ €8.6 million (US$10.3 million) project undertaken to commercialize Solein®.

To accomplish this goal, Solar Foods must do two things: create a final ideation of Solein® for market, and complete its demonstration production facility.

When the company closed its Series A in September these tasks were at the forefront. At the time, Solar Foods stated that the capital raised through its record-breaking round would enable it to pursue its mission of changing how food is produced through the construction of a new production plant that will have the ability to produce approximately one kilo of dry protein per day.

The basic engineering for the facility, which is being planned as an urban food production hub, has already been carried out by the company, which is beginning the permitting process. Once completed, the site will be called the demonstrator, as it will not only include the Solein® Experience Hub but will also have a future-food bar, giving visitors an unprecedented transparent view into food production.

“Our first factory will be located in Finland and is aimed to be the world’s first commercial factory producing food out of air-captured CO2,” said Dr.Vainikka in September. 

“At the start-up phase, our production is estimated to be 5 million meals a year,” explained Dr. Vainikka. “We want to disconnect protein production from the ever-increasing use of environmental resources. Turning this possibility into a reality is an exciting prospect.”

So far, the company has developed more than 20 different kinds of food products using its groundbreaking Solein®. However, once online in late 2022, its production facility will enable the commercial-scale production of even more new food products using the platform ingredient.

“Our vision is to change the way food is produced, and the demonstrator’s product is aimed to be permitted as a global novel food,” said Dr. Vainikka. “The world has hope. Food of the future is not a utopia – it is happening now.”

– Lynda Kiernan is editor with GAI Media, and is managing editor and daily contributor for Global AgInvesting’s AgInvesting Weekly News and  Agtech Intel News, and HighQuest Group’s Oilseed & Grain News. She is also a contributor to the GAI Gazette. She can be reached at lkiernan@globalaginvesting.com.