TLDR:
- Venture capital funds play a key role in funding biobased startups due to high levels of risk involved in bringing novel biomaterials to market.
- Three funds with significant bioeconomy investments are Synthesis Capital, Deep Science Ventures, and Baruch Ventures.
An overview of the bioeconomy in venture capital portfolios reveals the significant role that these funds play in funding biobased startups. Despite the high level of risk involved in bringing novel biomaterials and biochemicals to market, venture capital funds are among the few entities willing to take on this challenge. Three key funds with significant bioeconomy investments are highlighted in this article: Synthesis Capital, Deep Science Ventures, and Baruch Ventures.
Synthesis Capital:
Synthesis Capital, founded in 2020, is a venture capital firm based in London that specializes in novel food proteins. They have backed several prominent biobased startup financing rounds and are known for their diverse portfolio, which includes companies like Beyond Meat and Perfect Day. The firm is sticking to the food tech scene despite the market’s conclusion around alternative proteins being over-valued, betting on long-term demand for low-carbon, land-efficient foods to grow as governments aim to hit climate targets.
Deep Science Ventures:
Deep Science Ventures, founded in 2016 and based in London, stands out for its willingness to take on early-stage ventures in climate and agriculture, focusing on biobased solutions. The fund looks for potential startups that address clearly defined problem sets and supports founders with both technical and commercial experience. In agriculture, Deep Science is looking for sustainable methods of crop pollination, preventing post-harvest loss, sustainable cacao farming, and soil regeneration.
Baruch Ventures:
Baruch Ventures, founded in 2012 and based in San Francisco, focuses on commercializing biotech and modular biomanufacturing platforms for nature-based climate solutions. The fund aims to bring sustainable manufacturing methods and biobased products into the mainstream quickly by picking technologies that are better, faster, and cheaper than fossil fuel-based technologies. The portfolio contains startups that focus on biobased chemicals and proteins for industries like cosmetics, as well as solutions for methane fertilizers and animal health supplements.
