Denmark: Foodtech start-up MATR gets €20 million EIB loan to expand production of its clean label meat-alternatives

• EIB lends €20 million to Danish meat-alternative innovator MATR Foods, supporting the construction of its first full-scale production facility and R&D.
• MATR’s plant-based products are aligned with EU goals to create healthier and greener food systems.
• Financing backed by European Commission’s InvestEU initiative.

Danish food innovator MATR Foods signed a €20 million loan agreement with the European Investment Bank (EIB) to expand production of plant-based meat-alternatives. The EIB funding, supported by the InvestEU initiative of the European Commission, will enable MATR to build a first-of-its-kind plant for the production of a new generation of clean label plant-based meat alternatives and unlock further investments in product research and development.

"Plant-based meat alternatives not only have high potential for growth, but also bring environmental and health benefits," said EIB Vice-President Ioannis Tsakiris. "When it comes to financing the green transition, innovation is a key part along with agriculture. MATR brings these two priority areas together and we are happy to support its endeavour."

MATR applies an innovative solid-state fermentation technology that uses widely available local crops such as beetroots, potatoes, lupins and peas for the production of fungi foods – a new generation of natural alternatives to meat that are based on fungi fermentation. With the EIB’s support, MATR is taking the first step towards large-scale production, aiming to produce over 3,000 tonnes a year of its signature product.

“Our products have been received overwhelmingly well by chefs, restaurants and consumers, clearly confirming the appetite for cleaner, healthier and more juicy alternatives to meat,” said Randi Wahlsten, chief executive officer and co-founder of MATR. ”We are thrilled that the EIB, with its strong support, enables us to take the production to scale as fast as possible.”

MATR’s products are made from a shortlist of all-natural ingredients commonly found in the Nordic region and are low in fat compared with previous-generation meat alternatives. Minimal processing means that the MATR products have a carbon footprint of around 1.6 kilogrammes of CO₂ per kg of product[1], which is about 94% lower than that of beef. This means that the planned production facility will enable a direct climate impact reduction of European meals of more than 100,000 tonnes of CO₂ per year. MATR’s goals are aligned with EU objectives in the area of bioeconomy and are consistent with the EU Green Deal and the Farm to Fork strategy to create healthy and environmentally friendly food systems.

Background information

The European Investment Bank is the long-term lending institution of the European Union, owned by its Member States. It finances investments that contribute to EU policy objectives. EIB projects bolster competitiveness, drive innovation, promote sustainable development, enhance social and territorial cohesion, contribute to peace and security, and support a just and swift transition to climate neutrality. The Group’s AAA rating allows it to borrow at favourable conditions on the global markets, benefiting its clients within the European Union and beyond. The Group has the highest ESG standards and a tier one capital ratio of 32%.

The InvestEU programme provides the European Union with crucial long-term funding by leveraging substantial private and public funds in support of a sustainable economy. It helps generate additional investments in line with EU policy priorities, such as the European Green Deal, the digital transition and support for small and medium-sized enterprises. InvestEU brings all EU financial instruments together under one roof, making funding for investment projects in Europe simpler, more efficient and more flexible. The programme consists of three components: the InvestEU Fund, the InvestEU Advisory Hub, and the InvestEU Portal. The InvestEU Fund is implemented through financial partners who invest in projects using the EU budget guarantee of €26.2 billion. This guarantee increases their risk-bearing capacity, thus mobilising at least €372 billion in additional investment.

MATR Foods is a Danish foodtech start-up that combines microbiology and gastronomy to create new solutions to some of the world's biggest challenges; the climate, biodiversity and health crises. MATR is founded in 2021 and has production in Copenhagen's Nordhavn. The people behind MATR are an international team of researchers, chefs and entrepreneurs with experience from the food industry. MATR Foods fungi products are currently available at restaurants, canteens and retailers across Denmark. Current investors include Novo Holdings and the BioInnovation Institute.

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[1] https://apps.carboncloud.com/climatehub/organizations/MATR