Probiotics start-up lands US$8.65m to build “the world’s largest gut health data set”
30 Jun 2020 --- Direct-to-consumer custom probiotics start-up Sun Genomics has raised US$8.65 million in its Series A funding. The round was led by Pangaea Ventures with additional investments from Danone Manifesto Ventures, SOSV, Human Longevity and Nascita Ventures. The funding will support further growth in the personalized probiotics market, advance scientific publications and scale the delivery of the start-up’s range of gut probiotics solutions. The company seeks to build “the world’s largest longitudinal data set” to boost its probiotics customization capabilities.
“As we continue to understand the connection between the microbes in our gut and immune system dysfunction, consumers are becoming increasingly interested in their own personal microbiome, seeking solutions to gut-related issues,” says Sunny Jain, CEO and Founder of Sun Genomics.
“We are building the world’s largest longitudinal data set to better understand gut health, allowing us to custom-design probiotics for the exact needs of each and every customer. Today’s announcement is a clear indicator in the progress we have made and our future potential. We are excited to work with our new partners to reach even more consumers,” Jain adds.
Sun Genomics claims to be the first to market “completely personalized” probiotic solutions based on whole-genome sequencing diagnostics. Sun Genomics claims to be the first to market “completely personalized” probiotic solutions based on whole-genome sequencing diagnostics. With the global human microbiome market expected to reach US$1.4 billion by 2020, Sun Genomics will use this round of funding to support its growth in the custom probiotics market, scale delivery across the US, enter international markets, and propel the publication of its studies in partnership with leading academic institutions.
Probiotics growth spur
The news comes as personalization in nutrition is accelerating and the tailored probiotics segment is having a moment. In fact, the need for a more personalized approach has been flagged in the investigation of the link between nutrition and the microbiome. In this space, Chr. Hansen Holding acquired Austrian B2B company HSO Health Care to bolster its position in the probiotics tailored for women’s health.
Innova Market Insights data shows that probiotics only represented 3 percent of supplement launches in 2015 and 2016, and rose to 10 percent in 2018. In 2019, 94 percent of launches included a digestive/liver health claim, while 49 percent were touted as supporting immune health, according to the market researcher’s data.
NutritionInsight previously reported on the probiotic synergies and their future growth, while last week, World Microbiome Day spotlighted advancements in the space.
Microbiome focus
One of the significant investors that Sun Genomics has landed is Danone Manifesto Ventures. This is the corporate venture arm of Danone, launched in 2016 with a mission to support the growth of innovative food and foodtech companies. Furthermore, Chris Erickson, Founding General Partner of Pangaea Ventures, joined as a new Board member of Sun Genomics.
“This company is a market leader in microbiome analysis and gut health,” he says. “We value the impact it makes on physical health, immunity and mental health with many more clinically relevant opportunities to come. We are excited to be an investor and look forward to working with the Sun Genomics team to build a world-class company.”
Sun Genomics was founded in 2016 with the release of its flagship product Floré, a microbiome test and gut probiotics solution that utilizes whole-genome sequencing to evaluate different digestive system data points and ensure that customers receive a completely personalized product that is based on their unique gut profiles.
The company also offers Floré Tots, which is available for kids up to age 12 and comes in a convenient digestive powder to mix with their favorite drink. Since Sun Genomics’ Seed funding in October of 2019, the company says it has seen consistent growth in headcount and revenue. This additional financing brings the total funding to US$11.75 million to date.
“We see Sun Genomics as a leader in bringing personalized probiotics to consumers, blending scientific knowledge of the microbiome with new ways of providing customized health solutions,” notes Laurent Marcel, Chief Executive Officer of Danone Manifesto Ventures. “Backed by Danone’s strong scientific expertise in gut, immunity and microbiome, we are excited to support Sun Genomics into their next stage of growth.”
Edited by Kristiana Lalou
