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The Nu Company, the Leipzig startup behind the vegan chocolate and protein brands Nucao and Numove, has just bagged 14 million euros in a Series A financing round. The revenue from the round will fuel Nu’s continued expansion in a record year of revenue for the company, driven by increasing consumer demand for health-conscious and plant-based foods.
German startup The Nu Company, stylized in lower case letters, has announced the completion of its Series A funding with more than 14 million euros. Paris-based food technology investors Five Seasons Ventures and DX Ventures, the VC arm of food delivery giant Delivery Hero, which also owns Foodpanda, also took part in the round led by Luxembourg-based DLF Venture.
Other well-known investors are the former racing driver and Formula 1 world champion Nico Rosberg, who has supported a number of green tech startups such as Tier Mobility since his retirement, as well as BackBone Ventures and the Austrian F&B investors Square One Foods.
The Nu Company plans expansion
Nu says the proceeds from Series A, the startup’s first round of funding, will help expand its sales in Europe and internationally.
“This Series A will help us bring more products to market that can make a real and positive change in the food industry,” said Co-Founder and CMO Christian Fenner. “We want our products to be even more easily accessible across Europe, be it in the local supermarket or online with one click.”
Fenner launched the startup in 2016 with Thomas Stoffels and Mathias Tholey and has since launched two successful consumer-oriented brands, Nucao and Numove, which offer climate-positive, plastic-free and low-sugar vegan chocolate and protein bars and snacks. The entire range is certified organic, vegan and free of refined sugar and packaged in cellulose-based casings that can be composted at home.
For every product sold, Nu donates part of the proceeds to support reforestation projects run by a non-profit organization Eden, planting a tree for each beam.
Consumers rely on climate-friendly snacks
Nu’s round of funding comes amid rising demand for more sustainable and healthier foods, especially climate-friendly snacks, which are fast becoming a big trend in the food industry. Nu itself posted triple-digit sales growth for the fourth time in a row in 2021 and is now sold in more than 10,000 stores.
Co-founder and CFO Stoffels says the startup is now well on its way to planting more than 10 million trees by the end of 2021.
Another consumer trend that led to Nu’s record sales, says Co-Founder and CEO Tholey, is the company’s value-based approach. A recent global survey found that up to 80% of all shoppers now believe that businesses play a key role in climate action and social justice.
“We don’t stop with our own products. There has to be a shift in awareness across the industry, ”said Tholey, who co-founded one open call for the climate protection of German politicians and companies. “We put pressure on politicians and large corporations and challenge them so that we can treat consumers and our planet with respect and act in a way that is fair to the generations.”
For lead investor DLF Venture, Nu’s purpose-built business is a big reason the brand is focused on growth in the face of changing consumer trends. “The goal is always to offer everyone a healthier option without neglecting the environment,” said director Clément Helinckx.
“The result is excellent consumer engagement and excellent growth rates,” continued Helinckx. “It’s exciting to see a brand expand so quickly. That shows a clear market shakeout and a lot of potential to trigger long-term changes. ”
All images courtesy of The Nu Company.