Millennium Foodtech Partnership’s portfolio company Phytolon has secured investment from Rich Products Ventures (RPV), the corporate venture capital fund of Rich Products (Rich’s).
Phytolon, an Israeli biotech and food tech startup, specialises in producing natural food colours through precision fermentation.
The investment will support the commercialisation of Phytolon’s sustainable, clean-label solution for natural food colourings.
Under the investment plan, Rich’s will also explore using Phytolon’s proprietary natural colours in several of its products, in a mutually non-exclusive manner.
RPV’s investment is supported by existing Phytolon shareholders, including EIT-Food, Arkin, and Yossi Ackerman.
According to Millennium Foodtech Partnership, the funding will help to commercialise and scale Phytolon’s natural, precision-fermented food colourants, which are expected to receive key regulatory approvals soon.
Phytolon co-founder and chief technology officer Tal Zeltzer said: “We are excited to be empowered by Rich Products Ventures as partners in promoting our innovative products in the food industry.
“Rich’s investment and commercial partnership are key to establishing a strong footprint in bakery, desserts, and related segments, where solutions for natural colours are in high demand.”
Phytolon’s natural colours, produced using proprietary yeast strains through fermentation, provide a cost-efficient and sustainable alternative to synthetic food dyes without compromising on performance.
Starting with two base colours, the firm’s portfolio includes a full range of shades, purple, pink, red, orange, and yellow.
These colours offer a reliable, steady supply chain, unlike agriculture-based alternatives, and a simplified process for food brands to achieve precise product colours, Millennium Foodtech Partnership said.
As part of this investment, Rich’s will explore Phytolon’s clean-label, eco-friendly solutions in several products, evaluating the use of natural colours in icings, toppings, and baked goods.
RPV managing director Dinsh Guzdar said: “At RPV, we’re investing in venture and growth stage companies that are shaping the future of food through technology and innovation.
“Sustainable food production is a key area of focus for us, so we’re excited about the cutting-edge work Phytolon is leading and the opportunity that presents Rich’s to create greater value for our customers.”
