Microalgae seem to be everywhere. It is used as a way to replace fossil fuels, in cosmetics and pharmaceuticals, and as a food source.It is also a huge market and is expected to Worth $25.4 billion by 2033.
Brevel, a Tel Aviv-based company developing microalgae into alternative proteins, today announced $18.5 million in seed funding.
Founded in 2016 by brothers Yonatan, Matan and Ido Golan, Brevel has developed a proprietary technology that combines fermentation and light to make proteins from microalgae, which it sells in powder form to food companies for use in plant-based products.
The company claims the protein is “the most sustainable on earth” and could be considered “thephantom protein“Because it does not affect the flavor, color or taste of the food, it can be used in a variety of food applications.
In addition, this approach helps the company achieve cost parity with plant proteins such as pea and soy because it can create by-products along with the protein, including functional lipids and pigments, according to the company.
Brevel will use the new funding to continue developing its protein. Initially targeting the dairy alternative industry, the company currently operates a 500-liter pilot plant in Israel and will move to a commercial-scale plant with a 5,000-liter fermentation and lighting system capacity.
In addition to this, the company is preparing to build a larger plant, scheduled for construction in 2025, with a total capacity of 900,000 liters.
Brewell Recently signed an agreement with Vgardenis a plant-based cheese company that will be the first to incorporate Brevel’s protein into its plant-based cheese. The first products are expected to hit store shelves in 2024.
NevaTeam Partners led the seed round, which includes an $8.4 million raise in June 2022, which converts grants and convertible loans into equity. The remaining $10.1 million was recently raised.
The investment is supported by the EU EIC Fund, other food and climate funds, and strategic food industry partners. As part of the investment, Shai Levy, Managing Partner of NevaTeam Partners, will join Brevel’s Board of Directors.