An article on the Food Fermentation Europe group. An alliance involving the leaders in precision fementation dedicated to working together on matters relating to regulation. The group includes two of ANICs investees.
(Keep in mind this type of report is paid for by the company, so tends to have a positive ‘spin’ as it’s a type of PR). Still has some useful information though…
Jim Mellon (Director) purchased almost 700k of shares in Agronomics this week for around £70k
Aside from the humour imbued in this backward thinking cartoonish policy from Meloni’s brothers of Italy, I wonder if this article might signal future backlash from the far right of the political spectrum. Cue headlines inspired by Shelley’s novel (well, more likely the title):
One of the questions around scalability of cell cultured meat seems to have been answered by researchers in Tufts University center for cellular agriculture. If this concept of scalability is proved/taken forward by companies working on production then it is outstanding news for the sector.
An article talking about progress of Magic Value produce. Although not an Agronomics investee it is great to see other breakout companies in the sphere talk about the potential for growth.
Agronomics and competitors talk about the VC space of cellular agriculture and give a picture of how the sector is growing
More huge news for the sector as the UK gov invests £12m into a cellular agriculture company in Bath.
I jumped into this share in Feb now in the green with that government announcement. Monday could be another top up day.
I think that coupled, curiously perhaps with Italy’s rejection of the sector have underlined this approach to food/clothing as a both viable and forward thinking. Also worth noting that Agronomics Chief, Jim Mellon will be speaking at this weekend’s Master Investor show. He is certainly underline progress being made by their investees.
An brilliant interview with Agronomics co-founder, Anthony Chow. Discussion of the market place and helpfully going into some depth on the share price and projections.
News of Government putting around £120m into research on cellular agriculture research at the Uni of Bath. The Good Food Institute (GFI) seem also to be involved. As a n.b. all proceeds of Jim Mellon’s (ANIC founder) book on cell agriculture, ‘Moo’s Law’ went to the GFI
These ‘taste testing’ videos of cellular agricultural meat seem to be cropping up with a bit more regularity recently.
This video taste tests Upside Foods chicken - an Agronomics investee.
Japan PM proactively promoting cell agriculture
I am not excited at all about investment in cell agricolture.
99% of the countries in the world did not approve this type of innovation yet and there is zero excitement so far from the consumers about cell meat.
Consider that plant based meat have been a big flop overall. I do not see an investment case for cell meat.
I am super short on Agronomics
I think you are not alone on the shorting and for the time being it is an understanable move.
Nonetheless, Im not clear on where these 99% countries are. UK put aside over £100m. Nederlands have been vocal in funding, alongside the US putting $146m. The only country I know who have been vocal in their distrust of the innovation are Italy which provoked an immediate backlash from the research community in Italy. Unsurprisingly the funding for stance in Italy came from big intensive farming.
It is also worth noting that plant based foods are categorically different from cell agriculture. The former companies are working on an alternative. A cellular agriculture created chicken is bio identical.
Added to that Agronomics are not just about the meat. They are invested in leather making firm and probably the most exciting company is that which going to to be mass producing cell agriculture milk (for companies like Perfect Day). You can already buy this milk in the US and it is in starbucks.
The short positions are helpful for those who are keeping a close watch on this industry.
I think so far just Singapore gave 100% approval for the cell meat sector (thats where my 99% come from…).
I invested in several private and public plant based companies and i experience first hand the challenge to make the consumer accept a new type food. Thats where my skepticism come from. If its tough to accept for a consumer to eat plant based meat, i have several doubts that he/she will accept with enthusiasm a cell meat proposition.
Changing eating habits its almost impossible or it will take decades.
About Italy (i am italian…) you are right the meat lobby is very powerful, but also an approval would not move the needle considering the dislike of italian consumer for any type of “different meat” (Italy is at the bottom of the EU table for plant based market).
About Agronomics, it was a great move of Jim Mellon to list the vehicle at the right time (he is a great finance guy) but the portfolio seems pretty weak to me.
I think you are spot on about the plant based world having an impact on the potential for cell agriculture to be taken up by supermarket goers.
Nonetheless from what I read the approach to cell. ag. will be quite different. The meat products will hit high end resturants first (Blu Nalu as an example). Jim Mellon and Anthony Chow have earmarked 10 years plus for supermarket goers to catch up.
Liberation Labs factory will be the only cell. ag. Company mass producing milk by the end of next year. Then there is the fashioin industry companies. And let us not forget the pet food compamy Agronomics recently made a £3m investment towards. And as it is Mellon, there is a lkng cash runway.
Good point on Singapore but all that tells us is that the industry is young. Recent FDA approvals for Good Food chicken marks a landmark.
Also worth noting it is expensive but Agronomics are investing in building block research which is making progress.
The good reason to short is the youthful stage of this industry but it also helps long term investors. Agronomics portfolio is diverse and well thought through, they are open about timeline. Also, they have a clear runway (and are backed by institutions). Unless I am mistaken no other firm making these investments exists
In my opinion its a very niche industry and so much money have already been “wasted” (and will be wasted) without any ROI (revenues).
Jim Mellon already made his money on the IPO and overall is not credible as a sustainable investor (he made his money in investments very far from sustainable…)