Israel-based Chunk Foods, an SDC portfolio company, took in $15 million in seed funding in November – the biggest seed round ever for an Israeli plant-based company. The startup has been using these funds to set up a new manufacturing facility in Israel.
Amos Golan, founder and CEO of Chunk Foods, says the facility will be “one of the largest plant-based whole cuts factories in the world.” The factory is expected to be completed in June 2023 and Golan states that once it is Chunk Foods will be able to manufacture “millions of steaks” per year.
Chunk Foods develops whole cuts of alternative proteins using fermentation technology and food-grade microorganisms to turn soy and wheat into its proteins. Its steak product has no preservatives, additives, cholesterol or GMOs and 25 grams of protein per serving. The startup is differentiated from others in the space through a proprietary fermentation technology that allows Chunk Foods to mimic the texture, color and taste of traditional meat along with the direction and thickness of the fibers and juiciness of the cut.
This novel technology has allowed the startup to bring costs down to around $5 per steak, a price point comparable to traditional beef tenderloin. Like other startups in the space, Chunk Foods is in its early stages and began its pilot phase in the fourth quarter of 2022. In this burgeoning development phase, the startup’s steak product is already being served in New York City restaurants, including Coletta, Anixi and The Butcher’s Daughter.
Alongside its signature steak product, Chunk Foods has products in the development pipeline without soy or wheat for consumers with allergies.
Funds from Chunk Food’s recent round will also be used to expand its current employee base of 25, with the R&D in Israel and the commercial team in the U.S. The startup also has another, larger, facility in the works as the company enters retail sales.
The recent round was led by Fall Line Capital and was joined by The MIT E14 fund and FootPrint Coalition. Chunk Foods previously raised $2 million in pre-seed funding led by Stray Dog Capital.