Vegan fat foodtech startup scoops $4m in seed money

US-based Lypid, a B2B-focused foodtech firm, has raised US$4 million in a seed round led by Green Generation Fund as the company looks to expand into Asia, the US, and Europe.

Lypid co-founders Michelle Lee (left) and Jen-Yu Huang / Photo credit: Lypid

Investors including Big Idea Ventures and Foodland Ventures also took part in the round.

Lypid created PhytoFat, a plant-based fat with texture similar to animal fat that serves as an alternative to vegan food products relying on palm oil and coconut oil. 

The company was founded by Michelle Lee and Jen-Yu Huang in 2020. Huang also co-founded Voxel, a 3D printing solutions startup, in August 2019.

“[Plant-based fats] could be the vital ingredient for better tasting plant-based meats or a healthier alternative for traditional meat-based products,” said Victor Chen, co-founder and CEO of Foodland Ventures.

Lypid currently has a research and development facility in Taiwan. The firm will also build a factory in the country to produce 10 tons of products per year.

In December 2021, the foodtech firm partnered with Thailand-based pork and poultry giant CP Foods to produce vegan fat. It has also approached other large-scale food producers in the Asia-Pacific region for further partnerships.

See also: Korean food delivery major Woowa Brothers joins Shiok Meats bridge round

Other investors in the round include:

• AVA Angels
• IndieBio