Yeastup AG has announced the completion of a Series A funding round in which it secured CHF 8.9 million, for the launch of a production site where it will create protein and fiber ingredients from spent brewer’s yeast.

The company’s patented production method can isolate protein, beta-glucan, and mannoprotein in a single process and each of these products has a wide range of applications in food, nutraceutical, and cosmetic industries.

The new production site, which will repurpose a former dairy site, will upcycle over 20,000 tons of brewer’s spent yeast per year.

“We are pleased to Collaborate with Yeastup, whose innovative process not only brings new life to our facility but also demonstrates how existing dairy infrastructure can be successfully utilized for the alternative protein sector. We see this as an opportunity to reposition ourselves and explore innovative pathways together with Yeastup,” said Ralph Perroud, CEO of Cremo, Switzerland’s second-largest dairy producer.

The vegan, yeast-based protein Yeastin combines a PDCAAS (protein digestibility-corrected amino acid score) of 1, with high functionalities. It also boasts good solubility and neutral taste, and is produced in an ecologically-friendly way. The protein production, for instance, requires 74% less carbon dioxide than the production of pea protein.

Its fiber ingredient, Upfiber, which consists of beta-glucans and mannoproteins, has advanced functionality such as optimal gelling and water-binding properties, making it suitable for supplements and functional foods.

Scaling in Europe and Across the Globe

Yeastup has established several strategic partnerships in supply and engineering to ensure cost competitiveness. The new production site will be critical in meeting market demand. It will serve as the reference site for global scaling efforts.

Martin Hahn, head of global emerging platforms and technologies at Gelita AG, said that Yeastup’s technological approach was a good reason to support them.

“Yeast-based ingredients have the potential to transform how alternative products are developed and produced. Yeastup provides proteins and fibers, allowing customers to create tailored solutions and optimize ingredient lists and functionalities. We were particularly impressed by their knowledgeable and motivated team.”

Other investors include Beyond Impact, Gentian Investments, Newtree Impact, and Angel House, along with several family offices in Switzerland and abroad.

“We invested into Yeastup because their upscaling process results in significantly better products and economics compared to others in this space,” said Benoit de Bruyn, managing director of Newtree Impact and designated new board member of Yeastup.

Accolades Abound

Yeastup also won the SEIF Award and the TechTour in 2023, and secured CHF 2.45 million in grants, from Innosuisse as well as from the canton of Bern through regional development funding.

“Yeastup outperformed the competition at the SEIF Award because the management team is highly experienced and has demonstrated the ability to create a profitable business model while contributing to sustainability,” said Mariana Christen Jakob, former managing director of the SEIF organization.

“As a former food technologist in brewing and startup entrepreneur in the functional food space, it’s incredibly rewarding to see how our groundbreaking innovation has convinced consumers, partners, and investors. There are so many compelling reasons why this makes sense for all stakeholders. This support motivates me and the entire team to go the extra mile for Yeastup,” said Daniel Gnos, CEO of Yeastup.