REG - Seed Innovations Ltd - Investment in Clean Food Group Funding Round

Seed InnovationsAnnouncement

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RNS Number : 2632A  Seed Innovations Limited  14 April 2026

Seed Innovations Ltd / AIM: SEED / Sector: Closed End Investments

 14 April 2026

 

SEED Innovations Limited

("SEED" or the "Company")

 

Investment in Clean Food Group Funding Round

 

SEED Innovations Ltd (AIM: SEED), the AIM-quoted investing company, announces
that it has participated in a £4.5 million financing of its portfolio
company, Clean Food Group ("CFG"), led by Clean Growth Fund and New Agrarian
Company Limited ("New Agrarian"). The financing is structured via a
convertible loan note ("CLN") and is intended to support CFG's commercial
scale-up.

 

Jim Mellon, Non-Executive Chair of SEED, commented: "Our strategic focus
remains firmly on robotics and AI. However, we retain a number of legacy
investments, which we will continue to support selectively where we see
compelling opportunities. Clean Food Group is making good progress, and this
further investment enables SEED to maintain exposure to that momentum
alongside leading sector investors."

 

DETAILS

CFG's Financing and SEED's Participation in the CLN

CFG has completed a £4.5 million financing, structured via a CLN, led by
Clean Growth Fund and New Agrarian. As part of this financing, SEED has
committed to invest £260,000 via the CLN, which carries a coupon of 12% per
annum and matures in August 2027.

 

The CLN is convertible prior to maturity at a 20% discount to the price of a
future equity fundraising or, in the event of a sale of CFG, at a 20% discount
to the lowest price per share implied by the transaction. If not previously
converted, the CLN will convert at maturity at a price of 16.5 pence per
share, being the price of the last equity raise. The CLN ranks as an unsecured
creditor prior to conversion and, upon conversion, will convert into
preference shares ranking ahead of ordinary equity.

 

SEED's investment of £260,000 will be satisfied from its existing cash
resources of approximately £2.7 million.

 

The Clean Growth Fund is a venture capital fund investing in early stage UK
businesses that are focused on making
measurable reductions in greenhouse gas emissions or improvements in resource efficiency.

 

New Agrarian is an investing company part-owned by SEED's Non-Executive Chair,
Jim Mellon, who also serves as Co-Chair of CFG. Mr. Mellon is also the
Co-Founder and Executive Chair of Agronomics Limited, a leading London-listed
company focusing on investment opportunities within the field of clean food.
 Together, New Agrarian, Agronomics Limited and Mr Mellon have a combined
stake of approximately 36% in CFG. Mr Mellon's pre-conversion holding in CFG
is approximately 5.3% on a "look-through" basis.

 

Valuation and Accounting Treatment

SEED holds 7,161,336 ordinary shares in CFG, representing approximately 4.5%
of CFG's issued share capital on a fully diluted basis. As the investment is
structured as a CLN, SEED's current equity interest in CFG remains unchanged.
As the CLN does not imply an equity valuation for CFG unless and until
converted, SEED does not consider that this transaction has any impact on the
carrying value of its existing shareholding. SEED's holding of 7,161,336
shares in CFG was valued at £1.7 million in the Company's 2025 Interim
Report.

 

Following completion of the investment, SEED's aggregate exposure to CFG,
including both its equity holding and CLN participation, will be approximately
£1.98 million, compared to a total invested cost of £647,000.

 

CFG is a pre-revenue company, which has raised approximately £13 million in
funding to date. In the year to 31 December 2024 CFG reported a loss of
c.£1.4 million and had Net Assets of £3.1 million.

 

CFG's full announcement is set out below and available at:
https://cleanfood.group/news-insights (https://cleanfood.group/news-insights)
.

 

Clean Food Group

('CFG' or the 'Group')

 

£4.5 million investment led by Clean Growth Fund and New Agrarian

 

Funding to accelerate scale-up of world-leading Knowsley fermentation facility

 

Clean Food Group, a leading UK biotech manufacturer pioneering sustainable
oils and fats through fermentation, is pleased to confirm a £4.5 million
investment led by Clean Growth Fund and New Agrarian, two specialist investors
dedicated to fostering sustainable growth in food technology. CFG has also
successfully secured a £700,000 non-dilutive grant from Innovate UK which
further improves the Company's financial position.

 

Following the transformational acquisition of CFG's one million-litre
fermentation manufacturing facility in Knowsley, Liverpool in September 2025,
this latest funding, announced today at its in-cosmetics Global debut in
Paris, provides the necessary capital to complete the scale-up of the Knowsley
facility, expand production capacity and accelerate commercialisation of the
Company's high-performance oils and fats.

 

The Knowsley site acquisition positions CFG as the world's largest
manufacturer of yeast-derived oils and fats, enabling the Company to meet
growing global demand for sustainable, locally produced alternatives to
traditional agricultural and tropical oil supply chains. The global
sustainable food market was valued at US$315 billion in 2024 and is projected
to reach US$524 billion by 2032 at a CAGR of 6.7%.(( 1  (#_ftn1) ))

 

CFG's proprietary fermentation platform supports the manufacture of
high-performance oils and fats that can deliver both sustainability and
functionality at commercial scale, helping industries transition toward
cleaner, more resilient ingredient systems across food, cosmetics and pet
nutrition markets.

 

The Group continues to appreciate the support from its existing shareholders
including institutional investor SEED Innovations and industry partner Döhler
Group, one of the world's leading ingredient companies who are also supporting
CFG's commercial scale up.

 

Tom Ellen, Chief Financial Officer of Clean Food Group, said: "We are
extremely pleased to have the continued support of Clean Growth Fund and a new
partner in New Agrarian, two highly respected specialist investors in
sustainable food and industrial biotechnology.

 

"Their support, together with the Innovate grant, represents a strong
endorsement of Clean Food Group's significant progress and the scale of the
opportunity ahead. The capital raised will enable the Company to bring on
stream the world's largest yeast-derived oils and fats facility and to deliver
on our long-term vision for sustainable food manufacturing."

 

Rodrigo Hortega de Velasco, Managing Partner at Döhler Ventures, the
strategic investment arm of Döhler Group, commented: "We are pleased to
support Clean Food Group in this latest funding round and proud to have been
part of the Company's scale-up journey to date. CFG has consistently
demonstrated both the strength of its technology and the commercial potential
of its sustainable oils and fats platform. The acquisition of the Knowsley
facility marks a significant milestone, enabling production at a scale that
brings these innovative products closer to widespread commercial reality. We
look forward to continuing our collaboration as CFG advances towards
full-scale market deployment."

 

Jim Mellon, Chair and Founder of New Agrarian, added: "Supply chain fragility
is one of the defining risks of our time. War, climate volatility, and trade
disputes are presenting a huge challenge to manufacturers; the ingredients we
assumed would always be available are no longer guaranteed. Clean Food Group
is addressing this problem head-on, using scalable science and technology to
build genuine resilience and sustainability into the way we produce and source
key ingredients used in everything from food to cosmetics. For me, this sits
at a rare intersection: a compelling investment case and a genuine solution to
one of the most pressing challenges of our generation."

 

Building the future of sustainable oils and fats

Clean Food Group's mission is to enable a more sustainable and resilient
global food system by producing essential oils and fats through fermentation,
using food waste feedstocks and scalable microbial production.

 

The Company is focused on reshaping how key ingredients are made, supporting
the transition toward localised, low-impact manufacturing that reduces
reliance on environmentally damaging supply chains, while meeting the needs of
global consumer and industrial markets.

 

 

Ends

 

For further information on SEED please visit: www.seedinnovations.co
(http://www.seedinnovations.co/)  or contact:

 

 Lance de Jersey    SEED Innovations Ltd             E: info@seedinnovations.co 

                                                      
 James Biddle       Beaumont Cornish Limited,        T: (0)20 7628 3396

 Roland Cornish     Nomad                             
 Isabella Pierre    Shard Capital Partners LLP       T: (0)20 7186 9927

 Damon Heath        Broker
 Ana Ribeiro        St Brides Partners Ltd,          E: seed@stbridespartners.co.uk

 Isabel de Salis    Financial PR

 

NOTES

Seed Innovations Ltd

SEED Innovations Ltd (SEED.L) is an AIM-quoted investing company focused on
providing access to high-growth robotics and AI ventures typically beyond the
reach of everyday investors. The Company also oversees a legacy portfolio in
wellness and life sciences, with a medium-term strategy to unlock its full
value.

 

Nominated Adviser statement

Beaumont Cornish Limited ("Beaumont Cornish"), is the Company's Nominated
Adviser and is authorised and regulated in the United Kingdom by the Financial
Conduct Authority. 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 the 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 person
for providing the protections afforded to customers of Beaumont Cornish, nor
for advising them in relation to the arrangements described in this
announcement or any matter referred to herein.

 

 

 1  (#_ftnref1)
https://www.datamintelligence.com/research-report/sustainable-food-market

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