REG - Agronomics Limited - Formo Closes a US$ 61 Million Series B Round

AgronomicsAnnouncement

10/09/2024 07:00

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20240910:nRSJ5035Da&default-theme=true

RNS Number : 5035D  Agronomics Limited  10 September 2024

10 September 2024

Agronomics (https://agronomics.im/) Limited (https://agronomics.im/)

("Agronomics" or the "Company")

Formo Closes a US$ 61 Million Series B Round

Agronomics (LSE: ANIC), a leading listed company in the field of cellular
agriculture, is pleased to report that portfolio company Formo Bio GmbH
("Formo") has announced it secured US$ 61 million in its Series B funding
round.

The funding round included existing investors Foodlabs, EQT Ventures,
Lowercarbon Capital, Happiness Capital, Elevat3 Capital and Grazia Capital.
Formo also welcomes new investors Sazaby League, Seven Ventures, Woodline
Partners, The Nature Conservancy as well as the REWE Group, Europe's
second-largest retailer.

In aggregate, Agronomics has invested €4.4 million in Formo, including the
first investment in December 2019 when Agronomics co-led Formo's Seed round
with M Ventures. Subject to audit, Agronomics' carrying value will remain
unchanged as a result of this Series B funding at £9.3 million, representing
a gross IRR of 30.7% and a MOIC of 2.5x. Agronomics now holds an equity stake
of 4.5% on a fully diluted basis, accounting for approximately 5.7% of
Agronomics' last stated Net Asset Value at 30 June 2024
(https://polaris.brighterir.com/public/agronomics/news/rns/story/xjdzgkx) .

Raffael Wohlgensinger, Co-Founder and CEO of Formo:

"Everything is coming together - the launch of our first products, the
positive results of our environmental analyses, and the successful funding
round. This is the result of five years of intensive research and product
development, as well as the work of an incredibly passionate team. Game on."

Jim Mellon, Agronomics' Executive Chair and Co-Founder commented:

"This financing is an impressive achievement by Formo in what remains a
challenging macroeconomic and funding environment. Since our first investment,
the team has successfully achieved its R&D and commercial milestones which
is allowing them to lead the charge in the global transition towards
animal-free proteins. This also marks an extraordinary achievement for
Agronomics' portfolio which, since the summer of 2023, has raised around US$
280 million in some of the largest and highest-profile financings in the
sector. These financings speak to the strength of the companies within the
portfolio."

The full announcement is set out below without any material changes:

Berlin, 10 September, 2024 - German food fermentation startup Formo has
secured $61 million in Series B funding to scale its operations. The round
includes existing investors, such as Foodlabs, EQT Ventures, Lowercarbon
Capital, Happiness Capital, Elevat3 Capital and Grazia Capital, and welcomes
new investors, such as Sazaby League, Seven Ventures, Woodline Partners, The
Nature Conservancy as well as the REWE Group, Europe's second largest
retailer. Formo is setting new standards in dairy alternatives with the launch
of the world's first Koji Protein-based cheese alternatives. Frischhain and
Camembritz, two pioneering products are now available at over 2000 REWE, BILLA
and METRO stores across Germany and Austria. Sustainable Cheese Innovation
with Koji Protein The global cheese market, valued at over $240 billion,
presents a significant opportunity for disruption. Compared to conventional
cream cheese, the environmental impact of Formo´s products speaks for itself:
Frischhain production generates 65% fewer emissions, uses 83% less land, and
requires 96% less water. Formo's mission is to create products that delight
people and are kind to the planet. "Koji has been used in Japanese cuisine for
centuries to make miso, sake, and soy sauce, and it's the key to our
innovation. Koji Protein resembles whey protein, making it the perfect
foundation for our cheese alternatives," says Dr. Sandra Wilde, Vice President
of Food at Formo. Formo is pioneering Micro Fermentation, a process in which
naturally occurring cultures are fermented in a nutrient-rich bath to create
Koji Protein. Traditional cheesemakers replace cow's milk with plant-based
fats and Koji Protein, applying time-honored fermentation methods to craft
these products. Formo's cheese alternatives are free from lactose, hormones,
gluten, preservatives, and additives-yet they're rich in creaminess and
flavor. Funding Sets the Course for Expansion at Scale With the new funding,
the company aims to achieve key milestones, including international expansion,
diversifying the product range, driving revenue growth and achieving net
profitability by 2027. Formo is also advancing its technology platform to
accelerate the commercialization of animal-free casein products, which will
expand the portfolio to include hard cheeses, opening further opportunities in
the market.

About Formo

Formo is an innovative European fermentation startup that is redefining the
future of cheese. Founded in 2019 with locations in Berlin and Frankfurt,
Formo develops animal-free alternatives that combine taste and sustainability.
Using state-of-the-art fermentation technology, Formo creates cheese
alternatives that taste great and contribute positively to the environment.
Learn more at https://formo.bio/ (https://formo.bio/)

About Agronomics

Agronomics is a leading listed company focussing on investment opportunities
within the field of cellular agriculture. The Company has established a
portfolio of over 20 companies in this rapidly advancing sector. It seeks to
invest in companies owning technologies with defensible intellectual property
that offer new ways of producing food and ingredients with a focus on products
historically derived from animals. These technologies are driving a major
disruption in agriculture, offering solutions to improve sustainability and
address human health, food security, and animal welfare. A full list of
Agronomics' portfolio companies is available at https://agronomics.im/
(https://agronomics.im/) .

For further information please contact:

 Agronomics Limited   Beaumont Cornish Limited  Canaccord Genuity Limited       Cavendish Capital Markets Limited  Peterhouse Capital Limited  SEC Newgate
 The Company          Nomad                     Joint Broker                    Joint Broker                       Joint Broker                Public Relations
 Jim Mellon           Roland Cornish            Andrew Potts                    Giles Balleny                      Lucy Williams               Bob Huxford

 Denham Eke           James Biddle              Harry Pardoe                    Michael Johnson                    Charles Goodfellow          Anthony Hughes

                                                Alex Aylen (Head of Equities)   Charlie Combe
 +44 (0) 1624 639396  +44 (0) 207 628 3396      +44 (0) 207 523 8000            +44 (0) 207 397 8900               +44 (0) 207 469 0936        agronomics@secnewgate.co.uk

 info@agronomics.im

Nominated Adviser

Beaumont Cornish Limited ("Beaumont Cornish") is the Company's Nominated
Adviser and is authorised and regulated by the FCA. Beaumont Cornish's
responsibilities as the Company's Nominated Adviser, including a
responsibility to advise and guide the Company on its responsibilities under
the AIM Rules for Companies and AIM Rules for Nominated Advisers, are owed
solely to the London Stock Exchange. Beaumont Cornish is not acting for and
will not be responsible to any other persons for providing protections
afforded to customers of Beaumont Cornish nor for advising them in relation to
the proposed arrangements described in this announcement or any matter
referred to in it.

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  MSCQKCBBCBKDDCK