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Singapore startup Alchemy Foodtech has announced the completion of its 7-figure bridge funding round, led by major seafood producer Thai Union and a number of key alternative protein venture capitals. The financing will help the food tech accelerate its expansion plans, which includes increasing its production capacity and introducing its flagship GI-lowering powder to the Chinese and other regional markets.
Announced today (December 22), Alchemy Foodtech has secured a 7-figure investment round led by seafood giant Thai Union, with participation from Shanghai-based food tech fund Bits x Bites, Muang Thai Group’s investment arm Fuchsia Venture Capital, and South Korean VC Sunbo Partners. Existing investors Heritas Capital and SEEDS Capital also contributed to the financing round.
The Singapore food tech says that the bridge funding will be used to fuel its international expansion with a focus on China, as well as grow its production capacity. Alchemy Foodtech revealed its China-focused expansion plans earlier this year, adding that it additionally has plans to release a wider range of GI-lowering products in the future.
The partnerships will help to provide us with better market access into international channels such as leading supermarkets, convenience and retail chains, and countries including China which we have identified as a key market opportunity.Alan Phua, Co-Founder & CEO, Alchemy Foodtech
Its latest injection capital will also help accelerate Alchemy Foodtech’s existing co-development projects with a number of big food manufacturers in Singapore, including Gardenia, Lim Kee Foods and Kang Kang Noodles, to incorporate the startup’s flagship product Alchemy Fibre to their line-up of staple foods like bread, noodles and rice. These products are slated to launch commercially from January 2021 in Singapore.
“Thanks to our strategic investors in this bridge round, the partnerships will help to provide us with better market access into international channels such as leading supermarkets, convenience and retail chains, and countries including China which we have identified as a key market opportunity,” said CEO Alan Phua, who co-founded the startup with Verleen Goh. “The alliance will also help with our upscaling and internationalisation to aid fellow Asians in the fight against diabetes.”
The patented vegan-friendly Alchemy Fibre powder blend is made with only plant-based ingredients, such as peas, corn, tapioca, tuber roots, beans and legumes, and helps to lower the GI and up the fibre content of white rice without altering taste or texture. It also contains prebiotics, which helps to promote gut health and immunity.
Green Queen first reported on Alchemy Foodtech after its showcase at the Food’s Future Summit in 2019, and as one of the success stories to emerge from Thailand’s food tech incubator and accelerator SPACE-F.
Dietary habits are hard to break, even when it’s necessary. By tackling GI in carbohydrates including rice, Alchemy is elevating a staple that feeds billions across Asia and beyond.Matilda Ho, Managing Director, Bits x Bites
Alchemy Foodtech’s solution is particularly relevant for Asia, a region experiencing rising obesity and diabetes rates. Diabetes, in particular, has become an epidemic in the startup’s home nation, with one in two in Singaporeans expected to have Type 2 diabetes by 2050. With the company’s GI-lowering powder, consumers can continue to enjoy Asian dishes, many of which work best with refined grains like white rice from a taste standpoint, while controlling their blood glucose levels.
Commenting on Alchemy Foodtech’s turnkey solution for rising health issues in Asia, Patrick Bertalanffy, group director of strategy at Thai Union, described the product as key to “help consumers enjoy a healthier diet without compromising on taste,” and added that the corporation sees “multiple angles for future collaborations and are looking forward to supporting Alchemy as they grow their businesses beyond Singapore.”
“Dietary habits are hard to break, even when it’s necessary. By tackling GI in carbohydrates including rice, Alchemy is elevating a staple that feeds billions across Asia and beyond,” added Matilda Ho, managing director of the Temasek-backed Bits x Bites China-focused food tech fund.
“It is also a great example of how food innovation will shape the future of preventive health management. We are pleased to continue supporting Alan and Verleen, and are looking forward to helping them bring impact at scale to China in the near future.”
All images courtesy of Alchemy Foodtech.