Exclusive: Boston-based foodtech startup Motif FoodWorks is closing down

Boston-based foodtech company Motif FoodWorks— best-known for its weighty sampling heme healthy proteins generated using accuracy fermentation– is shutting down, AgFunderNews has actually found out.

The company, which has actually been participated in a pricey IP fight with Difficult Foods that was resolved this week with both parties agreeing to cover their own costs, informed staying team the information this mid-day. A skeletal system team will certainly remain on to wind points down at the company, which is based in Boston and has a market growth and proving ground in Northborough.

A top-level gamer in the alt healthy protein area, Theme FoodWorks has actually elevated $345 million because it spun off from Ginkgo Bioworks in 2019 on a goal to boost meat and milk choices with high effect, low-inclusion components.

The company, which elevated a shocking $226 million series B round in 2021 when cash was economical and rate of interest in different healthy proteins was overpriced, has actually because had a hard time to browse a much more tough setting, with financier view souring on meat choices in the middle of decreasing retail sales. *

While Theme has actually refuted that the increasingly ugly litigation with Difficult had actually prevented prospective consumers, one resource near to the firm informed AgFunderNews that it definitely really did not aid: “The Difficult suit [filed in March 2022] harmed a great deal of the capacity of business and practically eliminated it.”

Possibly as a result of the large amounts of financial investment resources pumped right into business, Theme likewise sometimes acted extra like a huge CPG firm than a scrappy start-up, the resource declared: “The business way of thinking as opposed to owner setting certainly harmed the firm.”

‘ The only champions right here were the legal representatives’

An additional resource near to the firm included: “The Theme scenario has actually been considerably affected by the Difficult suit. Over time, Theme would certainly have struck the exact same headwinds as all plant-based firms, yet the Theme modern technologies were making incredible development as shown by the industrial collaborations the firm was protecting. Theme had actually offers done and had POs in hand.

” Difficult understood these offers were being made, as the market is tiny and chatters. And Theme was likewise in talks with Difficult on just how both firms can interact, long prior to any kind of dispute arised. As soon as the suit hit, Theme’s industrial development came to a stop. As tough as the firm attempted to function around that suit, industrial companions were also terrified of the effects of the suit.

” Incorporate that with the stagnation in alt meat, investing substantial bucks on a suit, Theme had no alternative yet to transform internal and quit financial investment. Difficult took a “scorched planet” technique to place Theme bankrupt and won. However the only champions right here were the legal representatives.”

Theme has actually had 3 Chief executive officers because introducing in 2019. Its very first chief executive officer, previous PepsiCo R&D exec Jonathan McIntyre was changed by CTO Dr Mike Leonard (IFF, Solae, PepsiCo) in mid-2022, that remained in turn replaced by Brian Brazeau (DSM, Cargill, Ginkgo, Novozymes) in November 2023 following a round of layoffs .

High effect, reduced addition components

Theme FoodWorks– which used simply under 20 workers vs a top of over 70– has actually advertised 3 collections of items to day:

• HEMAMI myoglobin, a heme healthy protein declared to supply the taste and fragrance of meat that Theme makes using accuracy fermentation.
• APPETEX, a hydrogel integrating plant-based healthy proteins and carbs that Motif cases can reproduce the “flexibleness, juiciness and bite connected with animal-based connective cells.”
• Finished products ( plant-based poultry, beef, and pork) having HEMAMI and APPETEX targeting the foodservice market.

The firm, which likewise explore providing bioprocessing services to generate revenues last year, likewise obtained special accessibility to prolamin (a team of plant healthy proteins) modern technologies allowing plant-based cheese to “thaw, bubble, and stretch,” and oleogels allowing even more genuine fat structures in plant-based meats.

One previous staff member informed AgFunderNews he was “saddened” by the information. He included: “I have actually been a singing supporter of the items Theme created and the wonderful ability that benefited the firm. I have actually likewise been singing that I assumed Theme needs to have leaned right into their various other wonderful items besides heme. I would certainly have suched as to see if those items stood for a legitimate service design.”

Theme did not promptly react to an ask for remark.

This is an establishing tale …

* According to Circana information ground by 210 Analytics, United States retail sales of meat choices dropped 10.7% to $1.1 billion in the 52 weeks finishing June 30, 2024 (complete United States, MULO, incorporated fresh). Quantity sales dropped 13.3%. For context, fresh meat division buck sales were up 2.3% over the exact same duration with quantities up 0.7%, while icy refined meat sales were up 3.9% with devices up 8.1%.

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