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- Nestlé Health Science to buy majority stake in nutrition company Orgain
Nestlé Health Science has agreed to purchase a majority stake in functional nutrition company, Orgain, from founder and CEO Andrew Abraham and Butterfly Equity. Following the deal, Abraham and private equity firm Butterfly will retain “significant” minority ownership positions in the company, which makes nutritional products, most of which are certified organic. Integrative medicine specialist Abraham – who will continue to lead Orgain as CEO – founded the business in 2009. The company’s portfolio includes protein powders, meal replacement shakes and snack bars for adults and children. “Nutritional protein plays a key role in supporting our health and wellness, whether we enjoy an active lifestyle or are facing health challenges," said Greg Behar, CEO of Nestlé Health Science. “Orgain's emphasis on clean, all-natural, plant-based, organic ingredients has made it a leader in the US, and we look forward to combining our companies' expertise to bring Orgain to more people around the world.” Butterfly, alongside Ontario Teachers’ Pension Plan Board and DCP Capital, acquired a majority stake in Orgain in 2019. Ontario Teachers’ and DCP Capital will also retain minority holdings in the company. Butterfly co-founder, Dustin Beck, said: “It’s been inspiring to watch Andrew help pioneer the clean nutrition movement. He’s a visionary in the space and his drive and passion, along with that of the entire Orgain organisation, have created a truly remarkable business. “We’re excited to see what they will be able to accomplish in this next chapter of the clean nutrition movement alongside the perfect partner.” The agreement includes the option for Nestlé Health Science to fully acquire Orgain in 2024. The financial terms of the deal have not been disclosed.
- Nutrabolt teams up with Mars to launch Skittles energy drink
Nutrabolt has partnered with Mars Wrigley to launch a Skittles-inspired energy drink in the US, as part of its C4 Energy range. The new beverage is designed to taste like a handful of Skittles and marks Nutrabolt’s second collaboration with Mars Wrigley, following the launch of several Starburst-flavoured drinks. “We continue our highly successful collaboration with Mars Wrigley and the iconic Skittles brand to bring our joint fan base a brand-new candy-inspired flavour sure to energise their taste buds and add a whole lot of fruity flavour to their start of year," said Rajaa Grar, chief digital and marketing officer at Nutrabolt. C4 Energy beverages are made with no artificial colours or dyes, and contain zero sugar or carbs. The drinks feature a blend of functional ingredients, including CarnoSyn beta-alanine, an amino acid "to support muscular endurance"; and BetaPower, a purified form of anhydrous betaine "to help maintain cellular hydration". The new Skittles flavour comes in a 16oz can and can be found at retailers including H-E-B, Albertsons, Safeway, Publix, Kroger and 7-Eleven, as well as online and at gyms across the US.
- Zero Acre Farms secures $37m in Series A round
Zero Acre Farms has raised $37 million in an oversubscribed Series A round, co-led by Lowercarbon Capital and Fifty Years. Other investors include S2G Ventures, Virgin Group, Collaborative Fund, Robert Downey Jr’s FootPrint Coalition Ventures and chef Dan Barber. The company plans to use the funding to replace destructive vegetable oils, which have a damaging impact on the environment. Zero Acre highlights that more vegetable oils are produced globally than beef, chicken, shrimp and cheese combined. Vegetable oil crops, soybean and palm oil are said to be the top three drivers of global deforestation. Vegetable oil consumption is also linked to health issues such as obesity and heart disease. With the funding, Zero Acre Farms will accelerate the production of a new category of healthy oils and fats, made using a fermentation process. "Fermentation is the original culinary art, after fire," said Jeff Nobbs, co-founder and CEO of Zero Acre Farms. "We use this ancient technique to produce oils and fats with significantly lower levels of the bad fats that have been linked to inflammation and disease while having a fraction of the environmental footprint. We’re proud to be the first company stepping up with the mission to completely remove industrial ‘vegetable’ oils from our food system."
- Quench purchases Pure Aqua Tech of Michigan
Culligan-owned Quench has acquired Pure Aqua Tech of Michigan in a move to further expand its footprint. Founded in 2006, Pure Aqua Tech of Michigan is a provider of point-of-use drinking water systems and ice dispensers in northern Michigan. The company is a Wellsys dealer. “We are excited to welcome Pure Aqua Tech’s customers to the Quench family and to expand our footprint into northern Michigan,” said Todd Peterson, COO of Quench. “This acquisition is our first of 2022 and demonstrates our continued commitment to provide assistance to our dealers from start-up all the way through to exit.” Scott Crumbaugh, former owner of Pure Aqua Tech of Michigan, added: “Our customers will be thrilled with Quench’s industry-leading products and customer service”. Quench announced a number of acquisitions last year, including the purchases of Go Pure Water Technology, LaPure Water and Eastern Pure Water.
- Hostess Brands introduces Voortman sugar-free mini cookies
Hostess Brands-owned functional baked snack brand Voortman has released two new sugar-free bite-sized cookies in the US. The two new launches are available in Vanilla Shortbread and Iced Oatmeal variations and come in 5-ounce multi-serve resealable pouches. Adam Lisook, general manager of Voortman, commented: "Our new Voortman Sugar Free Mini Cookies tap into a growing desire among consumers for great-tasting, bite-sized snacks that help them achieve balance between health and indulgence". He continued: "Offered in fan-favourite flavours with zero grams of sugar and no artificial flavours or colours, consumers can feel good about enjoying the new poppable Voortman Sugar Free Mini Cookies. The new items also make it easy for people to share the cookies anytime and anywhere." The treats will be available for an SRP of $3.49 nationwide across the US.
- PepsiCo releases Rockstar energy drink with hemp seed oil in US
PepsiCo has launched Rockstar Unplugged, an energy drink that aims to ‘enhance good vibes’ with ingredients like hemp seed oil and B vitamins. The new sugar- and calorie-free beverage is available in three flavours: blueberry, passionfruit and raspberry cucumber. Rockstar Unplugged combines hemp seed oil, B vitamins, spearmint and lemon balm with an 80mg dose of caffeine. Fabiola Torres, PepsiCo general manager and chief marketing officer of the energy category, said: "91% percent of our consumers told us they wanted a beverage that lifts their mood. Rockstar Unplugged delivers the ingredients consumers have been asking for, creating an opportunity for us to transform the category and introduce new consumers to our energy portfolio." Rockstar Energy has partnered with MTV and will launch a three-part music series with the music franchise – MTV Unplugged – that shares the new beverage’s name. "This partnership with Rockstar Unplugged enables us to extend the iconic MTV Unplugged franchise to a new generation of music fans as a reimagined concert series that can drive entertainment forward," commented Jason White, CMO, MTV Entertainment Group. Rockstar Unplugged is available online and at retailers across the US, starting at $1.99 per can.
- FrieslandCampina and Danone partnership cuts greenhouse gas emissions
FrieslandCampina has announced that a three-year collaboration with Danone has resulted in a 17% reduction in greenhouse gas (GHG) emissions. The reduction – which applies specifically to dairy ingredients provided to Danone – has been achieved through the implementation of sustainable farming practices and green energy projects by FrieslandCampina’s dairy farmers. Both companies have committed to reaching net zero alongside improving soil health and biodiversity. Yann-Gaël Rio, Danone’s global vice president for nature and agriculture, said: "Sustainable dairy farming is a key priority in Danone’s journey to achieving net-zero emissions. This partnership demonstrates that by combining our expertise, we can accelerate the adoption of regenerative agriculture practices to help reduce the climate impact of dairy farming. While this is a great step, there is more to be done and we are looking forward to supporting more farmers in their transition by extending this partnership for an additional three years." FrieslandCampina uses the 'Annual Nutrient Cycling Assessment' to track progress resulting from sustainable farming practices. This tool gives farm-specific insights, such as on carbon footprint size. The positive results from this partnership have meant the companies have extended the collaboration for an additional three years. The two will aim to reduce GHG emissions resulting from the production of ingredients sourced from FrieslandCampina by a further around 7%.
- Kerry launches €6m dairy sustainability programme
Kerry has launched a €6 million programme to help milk suppliers in Ireland transition to more sustainable farming practices. 3,000 farms in south west Ireland will benefit from the programme, which aims to provide technical and financial aid to help them become more sustainable by reducing carbon and ammonia emissions, improving water quality and enhancing biodiversity. In a company statement, Kerry said it was committed to providing leadership in reaching science-based climate goals while ensuring the environmental, social and economic sustainability of farms in Ireland. Pat Murphy, CEO of Kerry’s dairy business, said: “Consumers globally want to consume food in a more sustainable way and it is important to examine how we can deliver dairy in a better way for people and the planet. Our Beyond the Horizon sustainability strategy sets out ambitious targets and our dairy business is committed to supporting our milk suppliers in the adoption of sustainable actions. "Our milk suppliers are already amongst the most sustainable milk producers in the world and we will continue to work with them to build upon that advantage and accelerate the enhancement of biodiversity and water quality across our catchment and in reducing carbon and ammonia emissions. Our ambition is to reach over two billion people with sustainable nutrition solutions by 2030." He continued: "A central element of this strategy is a commitment to work with our suppliers to reduce emissions intensity by 30% across our supply chain. This dairy sustainability programme underpins our ambition to work with our milk suppliers in achieving these targets and in forging a sustainable future.”
- CO2 supply agreement to ensure UK industry needs are met
The UK government has announced that the carbon dioxide (CO2) industry has come to an agreement to ensure businesses have access to a sustainable supply of CO2. CO2 gas is used for a variety of functions, including to vacuum pack products, stun animals before slaughter and add fizz into alcoholic and soft drinks. CO2 – in its solid form – can be used as dry ice which is essential for food deliveries. The agreement will allow CF Fertilisers’ Billingham plant to continue to operate while global gas prices remain high. It means that key sectors, including food processing and nuclear power, are ensured supplies of CO2. The results of CO2 shortages in the UK have included meat supply issues, with businesses forced to halt production and supplies to retailers disrupted.
- Laird Superfood names Jason Vieth as president and CEO
Laird Superfood has announced the appointment of Jason Vieth as president and CEO, succeeding Paul Hodge who announced that he would step down from the leadership role last year. Most recently, Vieth served as executive vice president of Sovos Brands, where he managed the breakfast and snacks group. He also served for nearly a decade at WhiteWave Foods, including as senior vice president and general manager of the yogurt business. Geoffrey Barker, chair of the board of directors, said: “We are delighted to have Jason join the Laird Superfood team to lead the next chapter of our growth story. His breadth of experience and impressive track record of leading high-growth CPG brands, particularly in the wholesale channel, will be a powerful accelerant to our digitally native brand”. “Paul Hodge, our founding CEO, built a remarkable brand and platform, and Jason’s strong operational background, experience with plant-based beverages and strategic mindset make him the ideal candidate to lead Laird Superfood and make it a nationally recognised brand.” Laird Superfood offers a range of plant-based creamers and dairy-free milk, as well as other beverage and snack products.
- Olipop secures $30m in Series B round
US functional beverage brand Olipop has completed a $30 million Series B funding round, led by Monogram Capital Partners. Other investors included former PepsiCo CEO Indra Nooyi and her husband Raj, Anjula Acharia, Rocana Venture Partners, and celebrities such as Gwyneth Paltrow, Joe Jonas and Mindy Kaling. Olipop makes flavoured functional sodas with digestive health benefits. Each can of Olipop contains 35-45 calories, 2-5g of natural sugars and 9g of prebiotic plant fibre. The brand plans to use the funding to develop new products, expand its team, tap into new marketing channels, and grow its ecommerce and wholesale channels. Ben Goodwin, co-founder, CEO and formulator at Olipop, said: "Our goal has always been to offer a product that can truly occupy the space that traditional soda has filled while also contributing to consumers’ overall wellbeing. We are thrilled to have incredible investment partners join us in this mission through their participation in our Series B. These celebrities and talent will help us reframe consumer perception of soda within American culture." The funding round values the brand at $200 million.
- Stora Enso to boost formed fibre capacity with €8m investment
Stora Enso has announced that it is investing €8 million to double its production capacity for formed fibre in Europe. The investment will see the annual formed fibre capacity of the company’s Hylte site in Sweden increase by more than 100% to approximately 115 million units of product. Stora Enso says that formed fibre – which is made using wood pulp – is renewable, recyclable and biodegradable. The material can replace plastic in a range of applications, and the company’s formed fibre products are being used in food packaging, including as bowls, trays and lids. “There is a high demand in the market for eco-friendly, circular packaging solutions that replace plastic and other fossil-based materials,” said Sohrab Kazemahvazi, senior vice president, head of formed fibre at Stora Enso. “Our formed fibre offering can help brand owners meet their sustainability targets, while responding to consumers’ demands for a cleaner future. Through our investment and the capacity increase we further improve our position in this growing market.” The company also plans to recruit more than ten employees for formed fibre production in Sweden.
