Adamo Foods, a UK startup making beef steak alternatives from fungi, has raised $2.5 million in a seed funding round co-led by UK Innovation Science and Seed Fund (UKI2S) and Joyful Ventures.
Adamo will use the funding to increase the production of its clean-label mycelium steak to pilot scale and expand its team by hiring senior food industry experts. The company also plans to develop more products, such as a chicken breast alternative. Milo Runkle, co-founder and General Partner at Joyful Ventures, will join Adamo’s board following the raise.
With the mycelium steak, which is claimed to be the first ultra-realistic beef steak alternative made from fungi, Adamo plans to disrupt the whole-cut meat alternatives market. While most conventional meat products consumed worldwide are whole cuts, plant-based meat manufacturers often focus on products such as burgers and nuggets due to the challenges involved in replicating the structure of meat. However, Adamo argues that consumers want more authentic products with cleaner labels, meaning there is a significant gap in the market.
“Pivotal moment”
Adamo’s steak alternative is made using a proprietary fermentation process that replicates the muscle structure of meat by producing long, densely packed fibers of mycelium. The fungi steak contains just five natural ingredients and is free of artificial binders such as methylcellulose. It is also high in protein and fibre, does not contain any cholesterol, and is said to be free of undesirable plant off-notes. According to Adamo, the steak generates 93% fewer greenhouse gas emissions than beef.
Adamo previously raised $620,000 in 2022, followed by another £1.5 million (about $1.92 million) last year. The company was recently named one of “8 Great British Startups that are Going to Change the World” by The Grocer and “Top 10 European Food Tech Companies to Watch in 2024” by Tech.eu.
Adamo is already preparing for its first product launch, which will involve a limited pilot in the UK followed by a broader European rollout.
“This is a pivotal moment for Adamo,” said Pierre Dupuis, founder and CEO of Adamo Foods. “We’re thrilled to have such experienced investors with deep food-tech expertise on board. This funding will allow us to scale our production to pilot-scale and bring our clean-label products closer to consumers.”
