Following its U.S. launch, Zero Egg, a plant-based egg alternative for foodservice and food manufacturers that tastes, looks, and functions like an ordinary egg, announced that it has raised $5 million in Series A funding led by Powerplant Ventures, and joined by existing investors Unovis Asset Management-New Crop Capital and Strauss Group-The Kitchen Hub.
The company will use this funding to grow the brand in the U.S. and support its ambitious new product launches in the coming year. With 100 billion eggs consumed each year in the U.S. alone, Zero Egg is focusing on providing affordable, versatile and tasty plant-based egg products with the mission to make a positive impact on the environment, animal welfare, and people’s health.
“By filling the white space in the foodservice industry for plant-based egg alternatives, Zero Egg aims to make plant-based foods the norm and empower the era of sustainable foods,” says Liron Nimrodi, CEO, and co-founder, Zero Egg. “Our goal is to meet growing consumer demand for an egg replacement that is effective, nutritious, versatile, and kind to animals and to the planet. We are elated to join Powerplant Ventures’ portfolio of brands. We can’t imagine a better partner to help us grow the brand and transform the industry.”
Veteran plant-based restaurateur and Powerplant Ventures co-founder and partner, T.K. Pillan, joins the Zero Egg board of directors. “I’ve been on a mission to offer practical plant-based options for consumers at both the retail and restaurant level for many years. What has been missing until now is a complete, affordable plant-based alternative for eggs,” said Pillan. “Zero Egg is a game-changer for the industry. We’re proud to invest in their team and confident it will be the much-needed affordable and versatile solution for operators looking to continue to reduce their use of animal products.”
The success of plant-based milk, which now makes up 14 percent of the U.S. milk category and has more than 40 percent household penetration, has laid the groundwork for major increases in other plant-based dairy categories, like plant-based eggs, which was the fastest-growing plant-based category in 2019, with 192 percent growth over the prior year according to Good Food Institute.
“The egg category is massive and the potential to disrupt it with an accessible plant-based solution is fairly untapped in the food industry. As investors, we are looking forward to continuing to support the expansion of Zero Egg in the U.S. market,” says Dan Y. Altschuler Malek, managing director, Unovis Asset Management-New Crop Capital and Zero Egg board member. “It was an easy decision to continue investing in Zero Egg because it is uniquely positioned given its functionality, taste, and competitive pricing.”
This round of funding includes reinvestment from Zero Egg’s first supporter, Strauss Group-The Kitchen Hub.
“We are proud to see Liron and her team materialize the Zero Egg vision,” adds Amir Zaidman, vice president business development, Strauss Group-The Kitchen Hub. “The company was started under the framework of “The Kitchen” incubator. The support of investors such as Powerplant Ventures and Unovis-New Crop Capital are strong votes of confidence, and what we see as a big step forward for the plant-based egg category.”