In a groundbreaking move, Chunk Foods has entered into a collaboration with Sigma, marking the plant-based company’s first foray into the Latin American market. This collaboration involves the integration of Chunk Foods’ plant-based proteins into Sigma’s Better Balance product line in Mexico. Chunk Foods, distinguished in the plant-based sector, has garnered attention for its innovative approach that utilizes fermentation technology and microorganisms to transform soy and wheat into steak-like filets.
The company, which announced $15 million in seed funding in April, has now accumulated a total of $24 million in funding. This financial support has allowed Chunk Foods to stand out and make strides in the competitive plant-based industry. The unique method employed by the company to create plant-based steaks underscores its commitment to providing innovative and sustainable alternatives.
This strategic collaboration with Sigma not only expands Chunk Foods’ global footprint but also positions the company as a key player in catering to the growing demand for plant-based products in the Latin American market. As the plant-based sector continues to gain traction, Chunk Foods is well-positioned to contribute its expertise and unique offerings to this evolving industry.
Despite a downturn in venture capital investment in the plant-based sector in 2023, Chunk Foods remains optimistic about the industry’s prospects. CEO Amos Golan sees 2023 as a pivotal year, marked by a noticeable shift in consumer acceptance and increased availability of plant-based options, particularly in mainstream restaurants.
Having achieved near price parity with traditional animal-based options, Chunk Foods has successfully introduced its plant-based steaks in various U.S. establishments, including the Charley’s Steak House chain in Florida. Over the past year, the company has experienced substantial growth, doubling in size, establishing a manufacturing facility, and introducing new products to the market.
The latest funding round, spearheaded by Cheyenne Ventures, is poised to further propel Chunk Foods’ expansion efforts. The company plans to bolster its commercial and operations teams in the U.S., aiming for nationwide distribution and establishing additional local partnerships. The increased manufacturing capacity is a strategic move to meet the growing demand for Chunk Foods’ plant-based products.
Although precise revenue figures and the current valuation of Chunk Foods were not disclosed by CEO Amos Golan, he asserted that both metrics have exceeded previous levels. This lack of disclosure may be indicative of the company’s focus on strategic growth rather than merely financial metrics. Golan’s emphasis on surpassing previous levels underscores the confidence investors have in Chunk Foods’ market traction and highlights the substantial potential within the plant-based whole cuts sector.
The growing investor confidence suggests a belief in the company’s ability to navigate the competitive landscape, capitalize on emerging market trends, and maintain a strong position within the plant-based industry. As Chunk Foods continues to innovate and expand its presence in new markets, the undisclosed financial metrics point to a trajectory of sustained growth and success for the company.