Danish food-tech start-up Matr Foods has completed a €40 million fundraise to scale up the production of its organic, fermented plant-based meat alternatives.

The fundraise includes €20 million in Series A equity and €20 million in venture debt – the largest secured by a food-tech company in Denmark.

Existing investor Novo Holdings and incoming investor the Export and Investment Fund of Denmark (EIFO) co-led the fundraising, alongside debt from the European Investment Bank (EIB).

The funding will support the scale of Matr Foods’ fermentation process at its Ansager site in Jutland, Denmark, to produce its clean label plant-based meat products. A significant scale-up will be enabled by the investment, bringing production from pilot scale to 4,000 tonnes per year in order to meet rising consumer demand for alternative proteins.

Established in Copenhagen in 2021, Matr uses traditional fungal fermentation techniques to produce meat alternatives from locally sourced ingredients like oats, split peas, lupins, beetroots and potatoes.

According to the start-up, its products offer a juicy texture and meaty, umami flavour, providing a sustainable and nutritious protein option without the need for additives or heavy processing.

Its flagship product, Matr Fungi Mince, is made entirely from natural ingredients grown in Scandinavia. It is rich in protein and fibre and low in fat, claimed to offer a similar amino acid profile to traditional meat but with a carbon footprint of just 1.5kg CO2e per kg – 94% lower than that of beef.

Matr’s new production line is expected to be operational by early 2027, resulting in 60 new jobs locally and accommodating customers in Germany, Switzerland and Denmark.

Randi Wahlsten, CEO of Matr, said: “We are looking forward to finally being able to meet the demand of the many customers and chefs who have been unwavering in their support and enthusiasm for Matr products”.

“It is truly humbling to be met with such support and feel the great craving for organic, clean label plant products that offer gastronomic excitement.”