Israeli cultured meat start-up Meat-Tech 3D has agreed to acquire an unnamed developer of cultured fats for $17.5 million.
According to Meat-Tech 3D, the ‘target company’ has developed a proprietary stem-cell-based technology to produce animal fats – such as those from cattle, chickens or geese – in a bioreactor without harming any animals.
Subject to the completion of a due diligence process and the execution of a final agreement, Meat-Tech will purchase 100% of the target company’s shares for approximately $17.5 million, in a combination of cash and equity.
Meat-Tech 3D has developed a proprietary bioprinter which can produce 3D printed ‘meat’. The bioprinter deposits layers of cell scaffolding and cell nutrients in a three-dimensional form of structured cultured meat.
The company claims that its process minimises the use of natural resources, improves animal welfare and can help to meet the growing demand for sustainably-produced meat.
This acquisition will reportedly open additional market opportunities for the company, as it will allow Meat-Tech 3D to combine cultured fats with plant proteins, giving plant-based foods a more ‘real’ meat flavour and texture. The company also claimed that purchase would allow it to expand its ‘clean meat’ portfolio, accelerate capability development and shorten times to market.
According to the company, there is growing consumer demand for “hybrid” products which incorporate both plant components and animal cell-based ingredients. The company anticipates that this segment will develop into a significant market, akin to the current plant-based alternative meat products.
Sharon Fima, CEO and CTO of Meat-Tech, said: “We expect the cultured fat technology to offer significant R&D synergies and help us realise our vision of development and production of a variety of cell-based foods using more sustainable production technologies. We hope to collaborate with new team members very soon.”
Steve Lavin, chairman of the board of directors of Meat-Tech, said: “Cultured fats are a promising candidate to be amongst the first cell-based products to be launched at scale.”
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