Why we invested: Planet A Foods

In the world of venture capital, every investment is a vote for a vision of the future. When we came across Planet A Foods, their mission to revolutionise the chocolate industry immediately resonated with us. Their focus on creating sustainable, alternative products to address critical challenges in our food system perfectly aligns with the values and long-term outlook of our fund.

This investment fits squarely within our focus on innovative materials. Our investment thesis in this space is rooted in a simple but powerful idea: we don’t need to invent entirely new materials. Instead, we must rethink how to produce the materials we already know and rely on, so they meet the same specifications while being produced sustainably. Planet A Foods exemplifies this approach by reimagining chocolate – an iconic and widely loved material in the food industry – through cutting-edge technologies.

We are proud to have led their Series B round and excited to share why we decided to partner with this visionary company.

A Bold Solution for a Pressing Problem

Chocolate is a beloved indulgence worldwide, but its production comes with significant environmental and ethical challenges. Cocoa farming is associated with deforestation, biodiversity loss, and human rights concerns in many regions. Planet A Foods offers a solution that eliminates the reliance on cocoa, leveraging innovative fermentation and plant-based technologies to create a chocolate experience that is both delicious and sustainable.
ChoViva, Planet A Foods’ chocolate alternative not only reduces the carbon footprint and land-use impact but also provides supply chain and price resilience in an industry vulnerable to climate change and fluctuating raw material costs. Most importantly, it tastes amazing, delivering a rich and indulgent experience that rivals traditional chocolate, ensuring consumers don’t have to compromise on flavour.

A Unique B2B Model

What sets Planet A Foods apart is their strategic B2B approach, embodied in their “ChoViva inside” branding. Rather than competing directly with established consumer chocolate brands, they empower these brands to create sustainable products by using their chocolate alternative as an ingredient. The ChoViva seal on every product sets these offerings apart and adds a unique identity. This model allows Planet A Foods to scale rapidly, tapping into a global market without the complexities of establishing their own retail network.

We see tremendous potential in this approach. By collaborating with existing players, Planet A Foods positions itself as a key enabler of industry-wide transformation by offering price stability, reliable supply, and an innovative alternative for brands, with the added benefit of better sourcing standards and improved sustainability.

Defensibility Through IP

Another critical factor behind Planet A Foods’ success is its defensibility through intellectual property (IP). Their innovative technologies are safeguarded by a robust portfolio of patents and trademarks, ensuring that their processes and formulations remain exclusive. In the world of consumer goods, IP can take two distinct forms: brand building for B2C companies and patent-backed innovation for B2B models. Planet A Foods exemplifies the latter, with their focus on proprietary fermentation techniques and ingredient compositions. This approach not only protects their competitive advantage but also enables them to become a critical partner to established brands looking for a reliable and innovative supplier in the confectionery industry. However, while B2C brand building is not their primary focus, it naturally occurs through the “ChoViva inside” logo on their brand partners’ packaging as well.

The Numbers Back It Up

Planet A Foods has demonstrated strong traction, both commercially and operationally. They’ve secured partnerships with major food producers and are seeing increasing demand for their products across various markets. Their technology platform is not only scalable but also adaptable, giving them a clear path to expand their product portfolio and reach in the near future.

A Visionary Team

Investing in startups is ultimately about people, and the team at Planet A Foods has impressed us with their deep expertise, passion, and relentless drive. From the founders’ visionary leadership to their technical team’s innovation capabilities, it’s clear they have the ingredients necessary to build a category-defining company.

Aligning with Our Investment Thesis

At BPI, we are passionate about supporting businesses that address systemic challenges through innovation. Planet A Foods checks every box for us:

1. Scalability & Platform: With a robust production and go-to-market strategy anchored by cutting-edge technology, Planet A Foods is uniquely positioned to scale rapidly while shaping the broader food industry.
2. Market Demand: The company addresses a pressing industry need for stable pricing and supply alternatives, providing a competitive edge to its customers in a volatile market.
3. Impact: Planet A Foods offers a transformative solution that elevates environmental and ethical standards in food production, paving the way for a more sustainable and responsible future.