Novo backs mycoprotein startup MATR to build first factory: ‘We’re not trying to mimic meat’

Copenhagen-based MATR Foods has raised €40mn to expand production of its mycoprotein products – which aim not to replace meat but create a new category of fungi-based foods.

The round, split between equity and venture debt, was co-led by Novo Holdings and the Export and Investment Fund of Denmark (EIFO), with support from the European Investment Bank.

The capital raise marks Europe's second largest foodtech funding round of this year, after French startup Nxtfood's €49m raise in September.

Thomas Grotkjær, partner of planetary health investments at Novo Holdings, said the firm was confident into MATR's "organic, fermented products."

"They meet consumers' growing desire for foods that have a positive impact on health, climate, and the environment — all key focus areas for Novo Holdings — without compromising on taste," said Grotkjær.

First factory

The investment will fund a new 4,000-tonne production facility in Ansager, Jutland, expected to open in 2027. The plant is designed to meet "rising demand" from chefs and retailers across Denmark, Germany, and Switzerland.

CEO Randi Wahlsten said the vote of confidence from investors was “truly humbling.”

We can "feel the great craving for organic, clean label plant products that offer gastronomic excitement," she said.

Not just a meat substitute

MATR Foods was founded in 2021 by microbiologist Morten Sommer and biotech entrepreneur Rasmus Toft-Kehler, who wanted to turn fungal fermentation into real, sustainable food. They brought in chef Claus Meyer of Noma to ensure the products had taste and texture, and later added Randi Wahlsten as CEO to scale the business.

The company injects fungi spores into cooked and blended foods like oats, split peas, lupins, beetroot, and potatoes. Over the course of a week, in a bioreactor, the spores grow into mycelium which then binds with the foods, creating a naturally high-protein meaty texture.

Its flagship product, a fungi mince, is high in protein and fibre, and low in fat, and free of additives. The company claims its carbon footprint 94% lower than beef.

The company’s foods are already on menus at several Danish food outlets such as Gasoline Grill, Sticks ’n’ Sushi, Mother Pizza, and Meyers canteens, and available through online grocers including Nemlig.com and Aarstiderne.