Kate Farms raises US$51m to “lead plant-based revolution in health care”
13 Nov 2020 --- Clinical nutrition specialist Kate Farms has raised US$51 million in Series B funding to help meet the increasing demand for plant-based options across industries.
The funding round for the manufacturer of organic, allergen-free and plant-based formulas to nourish those with chronic illnesses was led by Goldman Sachs, Kaiser Permanente and other existing individual investors.
“Demand for plant-based clinical nutrition in health care is growing. We will be using funding from this round to continue to expand our operations, including clinical science, production, customer service, distribution and sales,” Brett Matthews, chairman and CEO of Kate Farms, tells NutritionInsight.
Matthews believes that demand for plant-based foods among patients and health care providers will continue to increase and expand into home care and other out-of-hospital settings.
“Now with the addition of our new blue-chip investors, Kate Farms is well-positioned to meet those demands and our accelerated growth,” he adds.
“We will continue to accelerate our efforts to lead the plant-based revolution in health care to help the hundreds of millions of people who can benefit from it.”
Kate Farms plant-based medical nutrition portfolio includes adult and pediatric formulas for tube feeding and nutrition shakes for oral use.
Plant forward
Speaking to the plant-based category’s continual expansion, Innova Market Insights has named “Plant Forward” as its second top consumer trend for 2021.
Notably, the Innova Consumer Survey 2020 revealed that “health” was one of the top four reasons for considering a plant-based alternative.
“We know first-hand that plant-based nutrition can reverse disease and prevent illness and are excited to be working alongside some of the leading hospitals, doctors and dietitians to provide a higher standard of nutrition for people with medical conditions,” Matthews states.
Adding to the portfolio
The funds will help fuel Kate Farms’ growth to bring its plant-based liquid nutrition to those in need while driving overall innovation and expansion of the business.
Kate Farms’ clinically proven formulas address nutrition needs for those who require tube feeding, as well as those with shorter-term or milder conditions with nutrition shakes taken orally.
The next step in a year of growth
The company has made significant strides in 2020 and reports that it is currently experiencing its fourth year of sustained growth.
This March, the company revealed clinical data that demonstrated plant-based formulas are effective in improving tolerance, supporting weight gain and improving patient outcomes in a variety of conditions via both oral and tube feeding.
Over the summer, the company launched the Kate Farms Standard 1.4 formula and Kate Farms Pediatric Peptide 1.0 formula.
Both formulas are designed to provide adequate nutrients and calories for those struggling with an impaired ability to eat or digest foods.
All of Kate Farms products are US Department of Agriculture organic-certified, vegan, gluten-free and kosher. They are accessible in more than 95 percent of US hospitals.
By Missy Green
