Happy Plant Protein: raises 1.8 million euros to go global

Espoo / FI. (vtt) Finnish food technology startup Happy Plant Protein Oyj, a spin-out from VTT Technical Research Centre of Finland Limited, has raised EUR 1.8 million in pre-seed funding led by Nordic Foodtech VC, with Butterfly Ventures and Business Finland also participating through a grant. The company will use the funding to further develop and license its patented technology.

Happy Plant Protein is commercializing a manufacturing process that can produce high-quality plant protein ingredients with a 70-80 percent protein content. The method can be used with existing machinery and without needing to overcome time-consuming regulatory hurdles. This in turn enables fast development of new products and fast market entry. Furthermore, it can empower local food manufacturers and brands to produce their plant protein, removing reliance on overseas sources.

(Photo: Happy Plant Protein Oy)

Current methods to produce plant protein isolates do not meet the demands of the food industry or consumers due to high pricing of materials and the end-products sold in grocery stores. Simply establishing a protein isolate factory takes 100 million euros. Traditional processes to produce isolates also use huge amounts of energy and water. To produce just one kilogram of protein isolate, existing production lines use 14 MJ of energy. The method developed by Happy Plant Protein reduces energy usage to one seventh of the isolate process and cuts down the investment required. Furthermore, the process is chemical-free, uses almost no water and generates no waste.

«There is a need for cost-efficient, environmentally sustainable methods to produce high-quality protein ingredients. Ensuring food security while making food manufacturing more sustainable, we must find new, more efficient ways to produce food. The approach uses standard extrusion to extract high-quality plant protein from legumes, such as peas, lentils and cereals. The protein ingredients produced in this process can then be incorporated into many plant-based food products,» says Jari Karlsson, CEO and Co-founder of Happy Plant Protein.

Extrusion plants, which are the basis of Happy Plant Protein technology, already exist worldwide with more than 5,000 extruder lines in use in the food industry.

«This offers multiple opportunities to utilize the technology we have developed. By combining existing technology with Happy Plant Protein’s process, the investment and operating costs of producing plant protein can be slashed by up to 90 percent compared to current technologies,» says Karlsson.

The technology’s potential extends beyond mere cost savings. High-quality plant protein could be produced locally without huge investment, which makes it accessible to small local mills and food manufacturers, as well as big global food brands.

«Instead of relying on processing plants in other countries or overseas, local mills could produce plant protein independently and even increase the value of certain crops like pea or fava bean. This model bypasses the traditional global supply chain, allowing for the use of local crops and reducing the carbon footprint associated with food production and transport. By offering the license and technical know-how for its customers’ existing factories, Happy Plant Protein supports the creation of sustainable food systems and provides economic opportunities for farmers and local food processors,» says Karlsson.

«Consumers have been eager to try new plant-based food products, but the first-generation products did not meet expectations due to their taste, structure, price and health properties. Most of these challenges are caused by the current high-capex chemical isolate production, which is making the actual food products very expensive, highlighting off-flavors and lacking their natural beneficial dietary elements, like fibers. As Happy Plant Protein is licensing its technology globally, more natural, healthier and affordable food from local ingredients will become available to consumers,» said Mika Kukkurainen from Nordic Foodtech VC.

Happy Plant Protein aims to license the technology to food manufacturers worldwide.

«Happy Plant Protein is the newest one in the line-up of VTT’s spin-offs contributing to a more sustainable and resilient food system. The technology and the new company stem from VTT’s long-term research excellence in plant protein ingredients, underlining the importance of persistent RDI investments,» says Tiina Nakari-Setälä, Vice President and leader of VTT’s biotechnology and food research area.