Comet Bio announces $22M round of financing

LONDON — Comet Bio, a manufacturer of sustainable and healthy ingredients, announced the completion of the company’s Series C with an initial close of $22M. The round was led by Open Prairie, a multi-faceted private equity fund management firm with headquarters in Effingham, Illinois. Other investors include Louis Dreyfus Company (LDC), BDC Capital, and existing investor Sofinnova Partners.

“Thanks to the support of our exceptional investors, we will now be able to invest in a dedicated manufacturing facility to grow the supply of our upcycled ingredients,” said Rich Troyer, CEO of Comet Bio. “We will also be investing in innovation including our product pipeline and health claims development.”

Comet Bio, headquartered in London, Ontario, and Schaumburg, Illinois, uses its upcycling technology to produce sustainable ingredients. Its Arrabina Arabinoxylan Plant Fiber Extract is a premium prebiotic dietary fiber with purportedly superior tolerability and functionality. The company’s line of Sweeterra syrups boasts a sustainable and lower sugar alternative to traditional sweeteners.

“According to Global Market Insights, the prebiotic category is valued at close to $6B and is expected to exceed 10% CAGR in coming years,” said Troyer. “We have seen firsthand the growing consumer demand for ingredients that address gut health and sugar reduction. In addition, every single food company we’re talking to is looking to reduce food system waste. These strategic investor partnerships will enable us to meet this significant market opportunity and take Comet Bio to the next level.”

“Open Prairie is excited to leverage its team expertise and network to advance commercialization of Comet Bio’s ingredient technology platform and to facilitate diversification of US-focused distribution channels that benefit the Open Prairie Rural Opportunities Fund’s investment objective of catalyzing growth for agriculture and rural America,” said Tom Doxsie, a partner in the firm.

“We see tremendous potential for nutritious ingredients from upcycled agricultural materials and believe Comet Bio is well-positioned to capture this opportunity,” said Max Clegg, Head of LDC Innovations.