Arboreal Bioinnovations raises Rs 230 Cr in Series A round co-led by EAAA and Omnivore

Arboreal Bioinnovations, a speciality food and nutraceutical ingredients technology company, has raised Rs 230 crore in a Series A round of funding co-led by EAAA, the alternative assets management arm of Edelweiss, and Omnivore.

The round also saw participation from existing investor Rainmatter by Zerodha.

Arboreal will deploy the capital to expand manufacturing capacity, strengthen R&Dcapabilities, and accelerate the commercialisation of its next generation of functional ingredients.

The startup has an integrated technology platform that brings together ingredient engineering, process research and development, formulation science, and precision manufacturing, supporting more than 300 product launches. It provides proteins, sugar reduction solutions, cacao ingredients, and nutraceutical actives, which are custom engineered ingredients. It serves over 1,100 B2B customers across India.

Swati Pandey, Co-founder & CEO, Arboreal Bioinnovations, said, “This fundraise is a strong validation of the direction we are taking as a company. It gives us the fuel to accelerate our mission of building clean, science-led solutions that address some of the world's most pressing nutritional and food challenges, with innovation originating in India and reaching consumers globally.”

Manish Chauhan, Co-founder & COO, Arboreal Bioinnovations, said, “It (the fundraise) gives us the ability to invest more deeply in science, manufacturing, talent and long-term innovation, while building a platform capable of creating differentiated ingredients for some of the world’s most important food and nutraceutical brands.”

The startup claims that it develops solutions for the specific nutritional, functional, sensory and commercial requirements of Indian consumers and brands.

Ashish Agarwal, Managing Director, Private Equity, EAAA Alternatives, said, "The investment in Arboreal reflects the core philosophy of our fund’s strategy - backing businesses with the potential to emerge as category leaders. As the first investment from our Discovery Fund II, we are particularly excited at the long term growth prospects of Arboreal’s next-generation yeast protein products.”