Australian alternative protein brand V2food is growing wings, literally and figuratively, through the acquisition of US plant-based chicken manufacturer Daring Foods.
At the same time, V2food has unveiled a partnership with Japanese umami experts Ajinomoto Co., and plans to leverage its operations through Africa and Asia.
Founded in 2019 through a partnership of Main Sequence Ventures and Hungry Jack’s founder Jack Cowin, V2food manufactures plant-based burger patties, mince, and chicken-style products.
Its products are available at supermarkets nationwide, along with Hungry Jacks’ venues, where its plant-based patties fill vegetarian Whopper burgers.
In a statement, V2food CEO Tim York said acquiring Daring — which produces and sells its own chicken-style products within the US — will build the business’ global scale.
Combining Daring’s established brand with V2food’s food technology “creates immediate opportunities to accelerate our mission to be one of the global leaders in plant-based protein,” he said.
The deal’s value was not disclosed.
Ajinomoto Co. operates dozens of frozen food, seasoning, and instant meal brands worldwide, and is a leading producer of monosodium glutamate, more commonly known as the pantry staple MSG.
Those brands span markets like Indonesia, Poland, Turkey, and Nigeria.
With a growing global appetite for protein, the partners say the new deal could expose V2foods to new geographies.
The move “strengthens the joint platform’s ability to scale globally, unlocking new revenue streams and accelerating the delivery of next-generation food solutions,” according to Masaki Kashihara, executive officer for Ajinomoto Co.’s green business development wing.
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The deals come in a period of consolidation for the global plant-based protein sector, which is balancing predictions of long-term growth against short-term hardship, particularly in the US.
Backdropped by a growing global population — and the expectation that animal protein will become prohibitively pricey for many consumers — a 2023 Emergen Research paper predicted the global plant-based protein market will be worth nearly $34 billion (US$22.07 billion) in 2032.
But some pioneers in the space, like American brand Beyond Meat, have struggled to translate that optimism into present-day growth, particularly in their home markets with a taste for the ‘real’ thing.
Since listing on the Nasdaq in early 2019, and peaking at nearly $362 (US$234.90) a share in July that year, its shares are currently trading at $4.50 (US$2.92).
Despite a rough patch for brands like Beyond Meat and Impossible Foods, V2food backers believe the new deals will support the business across the years to come.
“Over the next five years, we expect to see a rationalisation of the industry”, said Cowin.
By acquiring Daring, v2food will “gain scale and provide technical solutions that meet or exceed consumer requirements for great-tasting, affordable and nutritious food that also happens to be better for the planet”.
