The Coconut Collab, a UK producer of coconut-based dairy alternatives, has raised £1.5 million in its Series B funding round.
The funding comes from existing shareholders, including US-based Ground Force Capital (formerly PowerPlant Ventures). This investment management firm previously funded The Coconut Collab’s $7 million Series A round, which was used to help the company expand within the UK and internationally.
The new capital will be used to help The Coconut Collab transition from startup to scaling phase, accelerating growth and establishing a more mainstream presence throughout the UK and Europe. The company is already seeing double-digit year-over-year growth, with 15% growth in 2023.
“The Coconut Collab has demonstrated rapid growth in the ten years since its inception,” said founder James Averdieck, “which has been supported by a rising number of consumers seeking out delicious, quality, and, increasingly, sustainable dairy-free alternatives. Our range delivers across all these requirements, with this investment allowing us to continue expanding the business, reaching more customers and realising our ambition to bring the category more mainstream.”
“A crucial role”
The Coconut Collab was founded in 2014, and will celebrate its tenth anniversary in 2024. Its founder, James Averdieck, previously launched the highly successful luxury dessert brand Gü, which also offers dairy-free options.
The Coconut Collab’s products are available at all major UK grocery retailers, and are also sold in Ireland, France, Germany, The Netherlands, and Austria. After starting out by launching coconut yogurts, the company has expanded to offer dairy-free cream, custard, and puddings. Additionally, The Coconut Collab recently launched a barista-style milk alternative that is claimed to “look, taste, and behave just like its dairy counterparts”.
“Natural ingredients, such as coconuts, are transitioning from being considered alternatives to becoming everyday choices, aligning with a broader shift in lifestyle awareness,” Anna Dominey, managing director at The Coconut Collaborative, told vegconomist. “We believe that our brand will play a crucial role in offering products that meet consumers’ expectations, continually innovating to meet their evolving needs.”
