March 7, 2016

New York-based, alternative insect protein food company Exo has raised a $4 million Series A round of funding led by venture capital firm, AccelFoods, and including Collaborative Fund, Start Garden, Tim Ferriss, the musician Nas, and athlete Amelia Boone.

After raising $400,000 in pre-seed funding, and $1.2 million in seed funding in October 2014, this round brings the company’s total financing to $5.6 million.

Company founders, Greg Sewitz and Gabi Lewis saw the potential for insect-protein based foods. Insect-based companies are slowly breaking down the societal taboo within Western cultures of insect consumption, and as the global population reaches 9.6 billion by 2050, alternative, more ecologically sound sources of protein for human consumption will be increasingly important and necessary.

“Exo is leading the charge on developing sustainable food for the future,” said Lauren Jupiter, Co-Founder and Managing Partner at AccelFoods. We’ve supported them from the start, and are excited to continue on this journey with them as they grow.”

“This is true innovation in the food space with transformative global implications,” added Co-Founder and Managing Partner, Jordan Gaspar. “Exo is reimagining the food system, and protein bars are just the beginning.”

Exo is planning to use the funds to support new product development, expand their team, and expand their retail presence. Currently, the company’s cricket flour protein bars, which come in flavors including apple cinnamon and mango curry, are mainly sold online through Amazon and Fresh Direct, however their products have recently gained shelf space in Wegmans supermarkets, CIBO Express Gourmet Markets, Whole Foods, and certain gyms including Equinox.

“We don't think that eating crickets is going to be quite normal anytime soon, and there have always been challenges associated with changing perceptions that are so deeply entrenched (how people feel about eating insects),” an Exo spokesperson told Sustainable Brands in an e-mail. “This is why we prioritize the taste, ingredients and nutrition of our bars – we make sure that once people get past the initial hurdle of convincing people to eat insects, it's easy to love our product.”