Berlin-based food technology startup Formo has received a €35 million loan from the European Investment Bank (EIB) to advance its fermentation processes aimed at producing dairy and egg alternatives. This funding is part of the European Union’s InvestEU programme, which aims to stimulate research and innovation across the region.
Founded in 2019, Formo utilizes innovative micro-fermentation techniques, harnessing naturally occurring microorganisms such as Koji mushrooms to create animal-free proteins suitable for cheese production. The company also employs precision fermentation methods to develop bioidentical milk proteins, including caseins with desirable melting qualities.
Formo has begun the approval process for its second-generation precision fermentation products in the United States and is also working on regulatory approvals within Europe. In September 2024, the company launched its first range of micro-fermentation products, Frischhain, in German and Austrian supermarkets, with plans to expand its product line to include various cheese alternatives and an egg substitute.
The EIB’s support is intended to help Formo scale its production capabilities in response to increasing consumer demand for sustainable food options. EIB Vice-President Nicola Beer highlighted the significance of this financing in promoting innovation for environmentally-friendly consumption.
Formo’s total funding has surpassed €135 million, following a $61 million Series B funding round in September 2024. The company aims to utilize this new investment to expand its market presence and enhance the resilience of the European food system.
