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(Sharecast News) - Agronomics increased its backing for cultivated-meat producer SuperMeat on Friday, committing $2m to the company's latest funding round as the Israeli start-up advanced toward commercial production of its lab-grown chicken in Europe.
SuperMeat had raised $3.5m through a simple agreement for future equity (SAFE), with Agronomics providing the majority of the capital alongside Milk and Honey Ventures.
Agronomics said its investment comprised $0.75m in cash and $1.25m in new Agronomics shares, issued at a price equivalent to the company's 30 September net asset value of 14.65p.
That resulted in 6,488,535 new shares being issued.
The SAFE would convert into equity at the next qualifying fundraise at a 70% discount, subject to a post-money valuation cap of $35m.
Agronomics, which first invested in SuperMeat in 2020, said the new funding would support the company as it commercialises its cultivated chicken.
The clean-food investor previously committed £9.4m to the business, a stake currently valued at roughly £14.2m and representing around 9.6% of its most recently reported net asset value.
SuperMeat had reported notable technical progress over the past 18 months.
A life-cycle assessment by CE Delft last year estimated that its cultivated chicken could cut carbon emissions by about 50% compared with conventional poultry.
In late 2024, the company announced it had achieved production of 100% cultivated chicken - comprising 85% muscle and 15% fat - at around $11.79 per pound at scale, bringing costs in line with premium pasture-raised chicken in the United States.
Agronomics executive chair Jim Mellon said the increased investment aligned with the need to meet rising global protein demand sustainably.
"We are proud to further increase our investment in SuperMeat and its team," he said.
"As global demand for protein continues to rise, it is essential to meet this demand sustainably, reducing the environmental and health impacts associated with industrial agriculture.
"Companies such as SuperMeat and its partners are delivering the science, technology, and commercial readiness necessary to drive meaningful change."
SuperMeat co-founder and chief executive Ido Savir welcomed the support.
"We're honored by Agronomics' continued support and confidence in our work," he said.
"Over the past year we have made substantial advancements across our production platform, for the first time, making cultivated chicken production commercially viable, and are now focused on translating these achievements into commercial launch."
The 6.49 million new Agronomics shares were expected to be admitted to AIM on or around 27 November, lifting the company's issued share capital to 1,015,905,830 ordinary shares.
At 1118 GMT, shares in Agronomics were down 2.32% at 7.15p.
Reporting by Josh White for Sharecast.com.
