The transaction is one of the largest seed funding rounds by a female-founded startup
G+T Ventures has advised precision fermentation start-up Cauldron on its landmark $10.5m series seed funding round.
Cauldron is a start-up company for precision fermentation facilities. The company was established by Michele Stansfield, a fermentation scientist with over a decade of experience in the field, and David Kestenbaum, former general partner at ZX Ventures, the corporate venture capital arm of AB InBev.
The latest $10m series seed funding round is one of the largest seed funding rounds ever by a female-founded startup in Australia. Main Sequence and Horizons Ventures led the funding round, with participation by the University of New South Wales. Cauldron plans to use the funds to expand operations to conduct large-scale precision fermentation in Australia.
Precision fermentation is a cutting-edge process that utilizes microorganisms such as yeasts and fungi to synthesise compounds. This technology has enabled the production of a wide range of ingredients such as proteins, fats, and fibres, which can be used in diverse applications such as food and medicine production. Several synthetic biology companies have harnessed the power of precision fermentation to produce innovative products that address some of the most pressing global challenges. For instance, companies are utilising this process to create animal-free "milk," plant-based "meats," and biodegradable plastics alternatives.
Lawyer and G+T Ventures head Xavier Keary advised Cauldron on all aspects of the funding round, with assistance from lawyers Muli Zhou, Henry Simpson and Matthew Pope.
Keary said that the Commonwealth Scientific and Industrial Research Organisation, the government agency responsible for scientific research, predicted precision fermentation would become a $700bn industry by 2040.
"Cauldron has the potential to be a key player in this industry, both in Australia and globally. This is another great example of an Australian start-up building Australia's strategic capabilities in an emerging industry that is key to addressing climate change and ensuring global food security," Keary said.
As part of the funding round, Cauldron acquired certain assets from bioscience company Agritechnology. G+T Ventures also advised Cauldron on the acquisition.
G+T Ventures is G+T’s venture capital practice. The team has worked globally on venture capital fund establishment and investment transactions. G+T Ventures' services include fund establishment, investments, exits, initial public offerings (IPO) and secondary transactions.
