Daring Foods Acquired by v2food With Ajinomoto Investment

Plant-based poultry producer Daring Foods has been acquired by Australian alt-protein company v2food, with backing by Ajinomoto Co, Inc. Financial terms of the transaction were not disclosed.

Jeff Gendelman, CEO of Daring Foods, told Nosh the partnership will leverage the scale and frozen food expertise of Ajinomoto and the proprietary protein technology of v2food, bringing the brand into new protein formats and meal occasions across retail and foodservice channels.

Since its inception, Daring Foods has used high-moisture extrusion technology to make plant-based takes on chicken formulated with a short list of simple ingredients including soy, vegetable oil and natural flavors and spices.

Joining forces with v2food unlocks a range of solutions for developing and manufacturing a broader platform of plant-based products beyond its current assortment of frozen breaded and unbreaded pieces and wings, as well as a line of single-serve vegetarian meals.

“We want to own clean plant protein,” Gendelman said. “That’s our focus.”

Ajinomoto operates a billion-dollar frozen foods business in the U.S. – with brands including Ling Ling, Jose Ole and Tai Pei – and offers significant advantages in distribution and retail execution, Gendelman said.

According to Gendelman, Daring Foods’ products are sold in “north of 16,000 to 17,000” retail doors nationwide, having gained distribution over the past few years. He said the company has achieved a 24% compound annual growth rate since 2021 and boasts a high repeat rate among top plant-based meat alternative brands.

“We’re very proud of that growth in a space that’s been contracting,” he said.

Though many Americans have tried plant-based meat and expressed interest in the category, a minority of consumers purchase these products regularly, according to the Good Food Institute (GFI). Taste and price expectations play a large role in adoption, but benefits around health and nutrition are also important in motivating consumers to switch.

Beyond Meat’s recent struggles have illuminated many of the barriers to growth for plant-based foods, including price and a negative narrative surrounding the health impacts of highly processed meat alternatives.

“This space should have been built much more thoughtfully, paying more attention to the fact that the consumer was looking for healthy products, too,” Gendelman said. “A lot of businesses invested too heavily in the supply curve before the demand curve came to fruition.”

Daring Foods has raised $113.8 million in total funding since its founding seven years ago, according to Crunchbase, which included a $65 million Series C round led by Founders Fund alongside existing investor D1 Capital Group. Its backers include celebrities and professional athletes such as Drake, Naomi Osaka, Cam Newton and Steve Aoki.

Gendelman told Nosh he will remain in his role leading the business to help “turbocharge growth” and that the brand will “feel and look the same as it did the day before the close.” He assumed leadership of the Los Angeles-based company after its founder and former CEO Ross Mackay stepped down to launch the hydration brand Cadence.

“We will continue to operate here in the U.S. not as an independent brand but one that can execute on its own objectives,” he said, adding, “The team has done an amazing job to continue to roll into this next chapter holding hands.”