Greencovery secures €1 million to take cocoa side streams into commercial production

Dutch food-tech startup Greencovery has raised €1 million (US$1.2 million) to move its cocoa upcycling technology into industrial-scale production, following validation of its first commercial batches with customers.

The Wageningen-based company will use the investment to expand production of three functional ingredients recovered from cocoa processing side streams: cocoa fiber, cocoa extract and cocoa soluble fiber. Greencovery is working with a strategic partner to scale the technology to an initial production capacity of 1,000 tons.

• Greencovery has raised €1 million (US$1.2 million) from ROM InWest, Brightlands Venture Partners and a private investor to scale its cocoa upcycling technology.
• The company is targeting 1,000 tons of capacity for cocoa fiber, cocoa extract and cocoa soluble fiber after validating initial commercial batches with customers.
• A further €3 million (US$3.5 million) funding round is now being closed to support full-scale commercial manufacturing, with investor commitments already secured.

The financing round includes regional development agency ROM InWest, existing shareholder Brightlands Venture Partners and a private investor. It marks a shift for Greencovery from technology development toward commercial-scale deployment.

Greencovery develops separation technology designed to recover functional ingredients from food-industry side streams. Although the company has previously demonstrated the technology with materials including coffee, oil press cakes and nuts, cocoa is becoming its first major commercial application.

The timing comes as cocoa manufacturers and food companies continue to contend with volatile raw-material costs. Greencovery said its recovered ingredients could provide manufacturers with additional formulation options while addressing demand for natural flavors, clean-label products and reduced sugar.

Its scale-up is centered on North Holland, home to a substantial cocoa-processing industry. Zaandam in particular has a long history as a European food-processing center and remains an important location for the international cocoa trade.

Rather than sending suitable cocoa side streams into lower-value applications or disposal routes, Greencovery's process is intended to refine them locally into ingredients that can return to food manufacturing.

"We have proven our separation technology across coffee, oil press cakes, and nuts, but cocoa is where we are reaching commercial scale," said Carlos Cabrera, Founder and Managing Director at Greencovery. "North Holland generates over 350,000 tons of food-grade side streams annually. Bringing ROM InWest into this round connects us directly to the region's industrial network."

For Greencovery, the commercial proposition rests on extracting more value from materials already generated by existing food-processing operations rather than establishing a new agricultural supply chain.

The company is initially concentrating on cocoa fiber, cocoa extract and cocoa soluble fiber, with the latest funding supporting the transition from validated batches toward consistent production at industrial volumes.

ROM InWest's involvement also gives Greencovery a regional investor as it works with industrial partners in North Holland.

"Upcycling side streams into functional ingredients instead of incinerating or downcycling them directly supports a circular food system," said Bas Kalshoven, Investment Manager at ROM InWest. "Deploying this technology with an industrial partner in North Holland is a prime example of regional collaboration."

Ad van Vugt, initiator of Zaan Food Makers and an early investor in Greencovery through family office Oterap, said the combination of existing infrastructure and available raw materials could support further development of circular food processing in the region.

"North Holland has the industrial base and raw materials to lead circular food processing. Greencovery is contributing to turning this potential into reality," he said.

The €1 million investment is only the first stage of the company's current financing plans. Greencovery is now closing an additional €3 million (US$3.5 million) round intended to finance full-scale commercial manufacturing and enable the business to supply ingredients at greater volumes.

The company said commitments for that round have already been secured from a combination of existing and new investors.

Brightlands Venture Partners has backed Greencovery during the earlier development of its separation technology and is participating again as the company moves into industrial deployment.

"We supported Greencovery through its early technology development," said Marcel Zijp, Senior Investment Manager at Brightlands Venture Partners. "ROM InWest's participation at this stage of industrial deployment comes at a key moment."

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