• Infinite Roots secured 58 million USD in Series B funding to advance its mycelium technology, scale up the production capabilities, and launch their first products.
• The round was led by Dr. Hans Riegel Holding (HRH), one of the two holding companies of the internationally successful confectionery group Haribo, with support from the EIC Fund. REWE Group and Betagro Ventures, the innovation unit of Thailand’s leading agribusiness Betagro Group, also joined the round.
• This marks the largest investment in mycelium in Europe and comes amidst one of the worst fundraising environments in the last 20 years. Bringing experts like HRH and REWE Group on board is a massive push for the alternative foods sector.

Hamburg, Germany, January 25, 2024 – Infinite Roots, formerly Mushlabs, a leading German biotech company, announced today the closing of its 58 million USD Series B funding round. The oversubscribed funding round represents the largest investment in mycelium technologies in Europe to date and underlines the growing importance of mycelium in the global food system. 

It was led by the Dr. Hans Riegel Holding (HRH), one of the two holding companies of the internationally successful confectionery group Haribo, with the support from the EIC Fund, a breakthrough initiative of the European Commission to make direct equity investments in European highly innovative start-ups and SMEs. REWE Group, one of Germany and Europe’s leading trade and tourism groups, and Betagro Ventures also participated in the round. 

They were joined by other existing investors, including Clay Capital, FoodLabs, Redalpine, Simon Capital, and Happiness Capital. With these investors, Infinite Roots brings on board partners with expertise in launching and distributing food products globally. 

Securing an investment round of such scale from industry giants amidst a harsh fundraising environment is not only a testimony to Infinite Roots’ technology and expertise but also a massive win for innovation in the entire food industry.

With this new funding, the company moves into a new era of commercial growth, planning to expand its production capacities and invest in launch activities worldwide. In the long term, Infinite Roots aims to play a key role in transforming the global food system with the versatile applications of mycelium.

“Rethinking food production and consumption has never been more pressing, and requires our collective efforts. We are thrilled to join forces with industry champions to establish the next generation of tasty, healthy and sustainable foods. We are in a unique position to define a new era of mushroom mycelium-based products. With Infinite Roots’ technology and products, we aspire to lead the monumental shift to a more sustainable and healthy food system,” said Dr. Mazen Rizk, Founder and CEO of Infinite Roots.

With HRH, Infinite Roots brings on board a strong commercial partner with international expertise in launching products in growing consumer markets. In addition, REWE Group, Germany’s second-largest food retailer active in over 21 countries, already holds over 20 percent market share in vegan core products. Both investments underscore the conviction in Infinite Roots’ technology and products based on growing consumer demands for sustainable food alternatives.

Infinite Roots’ mycelium technology has the potential to contribute massively to a sustainable food supply. We at Dr. Hans Riegel Holding invest in future-defining technologies.“ explains Dr. Reinhard Schneider, Managing Director of Dr. Hans Riegel Holding GmbH. 

Svetoslava Georgieva, Chair of the EIC Fund Board, also emphasizes the potential of the new development: “We are looking forward to the exciting road ahead with the Infinite Roots team. It is high time for consumers to be able to reconcile their appetite for good food and their willingness to act for the planet and for their health.“

Known for its groundbreaking innovations in mycelium technology, Infinite Roots now strengthens its pioneering position in developing mushroom mycelium-based nutrition. Its patented technologies enable the development of diverse and versatile food products based on edible mushroom mycelium. This successful funding round highlights Infinite Roots’ enormous potential and ability to attract strong partners.

Mycelium fermentation technology is an increasingly important gamechanger in the food industry, ranking as a megatrend in the sector alongside plant-based and cultured meat. Infinite Roots’ products create a third category in food classification, as mushroom-based products are neither plant nor animal. In recent years, the demand for healthy dietary alternatives has risen globally. Infinite Roots meets this demand with a sustainable, healthy range of food with diverse applications, extending far beyond meat substitutes.

About Infinite Roots (formerly Mushlabs)

Infinite Roots, a pioneering biotech company headquartered in Hamburg, Germany, is at the forefront of sustainable food innovation. With a diverse team of over 67 professionals representing 25 nationalities, Infinite Roots is dedicated to revolutionizing the food industry. Leveraging cutting-edge technology, the company specializes in the development of mushroom mycelium-based nutrition, aiming to address global challenges such as climate change, resource conservation, and food security. Through its groundbreaking work, Infinite Roots exemplifies the intersection of technology, diversity, and a profound commitment to a more sustainable and equitable world. Further information: https://www.infiniteroots.com/

About the EIC Fund: The European Innovation Council Fund from the European Commission is an agnostic Fund: it invests across all technologies and verticals and all EU countries and countries associated with Horizon Europe. It provides the investment component of the EIC Accelerator blended finance. The European Investment Bank acts as an investment adviser to the EIC Fund. The EIC Fund aims to fill a critical financing gap, and its main purpose is to support companies in the development and commercialisation of disruptive technologies, bridging with and crowding in market players and further sharing risk by building a large network of capital providers and strategic partners suitable for co-investments and follow-on funding. The Fund pays particular attention to the empowerment and support of female founders as well as the ambition to reduce the innovation divide among EU countries.

About Dr. Hans Riegel Holding: Dr. Hans Riegel Holding (HRH) is one of the two holding companies of internationally successful confectionery group Haribo. HRH invests in future-defining technologies, particularly in the food industry. Either directly or via corresponding investing private equity funds.

About REWE Group: The cooperatively organized REWE Group is one of the leading trade and tourism groups in Germany and Europe. In 2022, the company generated a total external turnover of 85 billion euros. Founded in 1927, REWE Group operates with around 380,000 employees in 21 European countries. The sales lines include REWE, REWE CENTER and BILLA as well as BILLA PLUS and ADEG supermarkets and consumer stores, the discounter PENNY, IKI, the drugstores BIPA, and the toom Baumarkt DIY stores. The company also operates convenience stores REWE To Go and the e-commerce activities REWE Lieferservice and Zooroyal. The Lekkerland Group comprises the wholesale activities of the business group in the area of on-the-go consumption. Travel and tourism under the umbrella of DER Touristik Group include the tour operators DERTOUR, ITS, Meiers Weltreisen, Kuoni, Helvetic Tours, ITS Coop Travel, Billa Reisen, Koning Aap, Exim Tours, and Fischer, as well as more than 2,300 travel agencies (e.g., DERTOUR, DERPART, Kuoni, Exim, Fischer and cooperation partners), the hotel brands Sentido, Aldiana, Calimera, Cooee, and the online travel portal Prijsvrij Vakanties.