NovoNutrients Raises US$18 Million Series A Led by Woodside Energy and Co-Led by CM Venture Capital

Funding to Accelerate Development of Innovative Carbon Capture and Utilization Technology for Sustainable Protein Production

SUNNYVALE, Calif., July 16, 2024 /PRNewswire/ -- NovoNutrients, a biotech trailblazer transforming CO₂ emissions into premium protein, today announced the US$18 million successful first closing of a Series A financing that includes US$10.3 million in new capital and the conversion of US$8 million in previously issued SAFEs. The round was led by Woodside Energy, a global energy company, and co-led by CM Venture Capital, an advanced/sustainable material investment company. Other participants include SOSV's IndieBio and Decarbonization Consortium, Happiness Capital, The Jeremy and Hannelore Grantham Environmental Trust, and Audacy Ventures. The round targets additional closings for a total of US$23 million.The potential applications for Novotein™ span pet food, aquaculture, and plant-based alternatives for human consumption.

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Novotein™, one of NovoNutrients' environmentally responsible products, is a complete protein ingredient with nutritional value equivalent to beef.

NovoNutrients' pioneering process captures industrial CO₂ emissions and combines them with hydrogen to produce Novotein™, a nutritious and environmentally responsible protein ingredient. NovoNutrients plans to utilize an asset-light strategy encompassing licensing and strategic partnerships.

The Series A funding will support NovoNutrients' industrial pilot program, team growth, and commercial partnerships. NovoNutrients has already secured technology development agreements (TDAs) in the energy and nutrition sectors, including a TDA entered into with Woodside Energy in 2023.

"This investment brings us closer to realizing our vision of a world where industrial emissions are upcycled into essential nutrients for a growing population," said David Tze, CEO of NovoNutrients.

Novotein™ has demonstrated its nutritional excellence and versatility in animal studies, comparing favorably to both traditional and emerging protein alternatives. This premium ingredient significantly reduces water and land use compared to conventional proteins.

The potential applications for Novotein™ span pet food, aquaculture, and plant-based alternatives for human consumption. This versatility helps to address the increasing global demand for cost-effective, sustainable protein sources across multiple markets.

"With this Series A financing, NovoNutrients is well-positioned to accelerate its growth and quickly become a leading supplier of CCU technology that enables sustainable protein ingredients," said Min Zhou, Managing Partner of CM Venture Capital. "Their leading-edge approach aligns with our focus on renewable carbon, advanced materials science, and hard-tech innovations. We have great confidence in the NovoNutrients team's ability to execute their ambitious vision."

This Series A round marks a significant milestone for NovoNutrients as it advances its technology. Supported by its investors and partners, the company is poised to make substantial contributions to global food security and industrial decarbonization. As NovoNutrients expands its technology and partnerships, it aims to become a leading provider of sustainable protein ingredients and a key player in the global transition towards a lower carbon economy.

About NovoNutrients

NovoNutrients transforms industrial CO₂ emissions into premium protein ingredients for food and feed. Their proprietary gas fermentation technology employs natural microbes to convert CO₂ and clean hydrogen into complete protein with nutritional value equivalent to beef. NovoNutrients' efficient business model allows emitters to invest in profitable carbon capture and utilization projects, with NovoNutrients serving as the technology partner. Visit www.novonutrients.com for more information.

About Woodside Energy

We are a global energy company founded in Australia, providing reliable and affordable energy to help people lead better lives. We aim to thrive through the global energy transition with a low cost, lower carbon, profitable, resilient, and diversified portfolio. Today our portfolio includes a diverse range of oil and gas assets. We're also developing a portfolio of new energy products and lower carbon services. Visit www.woodside.com for more information.

About CM Venture Capital

CM Venture Capital is a leading venture capital firm that invests in renewable carbon, advanced materials science, and hard technologies. Backed by Fortune 500 companies – BASF, BAT, GE, Henkel, Heraeus, Petronas, Samsung, SABIC – CM Venture Capital has a global reach and a strong network in China. CM Venture Capital partners with ambitious entrepreneurs to build companies that address challenges in decarbonization, digital transformation, energy transformation, and material transformation. Visit cmventure.net for more information.

¹ For Woodside, a lower carbon portfolio is one from which the net equity scope 1 and 2 greenhouse gas emissions, which includes the use of offsets, are being reduced towards targets, and into which new energy products and lower carbon services are planned to be introduced as a complement to existing and new investments in oil and gas. Our Climate Policy sets out the principles that we believe will assist us in achieving this aim.

SOURCE NovoNutrients