Biotech Infinite Roots secures $58M for mushroom production

Infinite Roots (IR), previously known as Mushlabs, a German biotech enterprise specializing in mycelium, a mushroom-derived material with potential applications ranging from food to construction, has successfully raised $58M in a Series B funding round.

• Investor Line Up: The funding round was presided over by Dr. Hans Riegel Holding (HRH), the holding company of Haribo, with the Europe Investment Council fund, REWE Group, and Betagro Ventures also participating. Persistent investors, including Clay Capital, FoodLabs, Redalpine, Simon Capital, and Happiness Capital, also contributed.

• Mycelium: Mycelium is a non-reproductive part of fungi that secretes enzymes to break down food and absorb nutrients and can be used to produce a variety of products like cloth and construction materials.

• Strategy: IR, founded by Dr. Mazen Rizk, combines an asset-light approach with the utilization of existing production facilities to mitigate heavy capital investments. It is collaborating with a leading brewery in Germany to refurbish parts of the facility to create its production space.

• Future Prospects: Despite competition, IR's unique approach and innovative plans, including the use of brewery waste as production material, have excited investors. The company plans to focus on creating products that are tasty and healthy, rather than just meat alternatives.

The company's partnership with an industrial partner for the next phase signifies an important step for Infinite Roots, as having access to industrial-scale facilities is becoming crucial for mycelium-based companies.