Kynda, a Jelmstorf-based startup in sustainable protein production, has successfully raised €3 million in Seed funding for its fungal-based fermentation and mycoprotein development.
The investment round was led by Enjoy Ventures (through their Invest-Impuls Scale fund), with participation from PHW Group and Clima Now, a Swiss climate tech investor. The new group of investors will be joined by C.E.L.L. Investment in a second closing.
“This strategic partnership creates exciting synergies, accelerating the implementation and commercialisation of our technology and superfood raw materials,” said Franziskus Schnabel, Co-founder of Kynda. “With PHW’s support, we are well-positioned to drive sustainable innovation at scale.”
Founded in 2019 by Daniel MacGowan von Holstein and Franziskus Schnabel, Kynda focuses on sustainable protein production through biomass fermentation, transforming agricultural by-products into high-value mycoprotein for food and feed industries.
By upcycling agricultural waste, Kynda creates nutrient-rich, scalable, and climate-independent protein solutions that reduce environmental impact while aiming to meet the demands of a growing global population.
The fermentation process produces mycelium in just 24-48 hours, offering a cost-effective alternative to both plant and animal proteins—without the resource intensity of conventional agriculture. The Founders bring over 20 years of combined experience in the food industry, driving innovation at the intersection of biotechnology and sustainable agriculture.
Kynda’s proprietary technology integrates hardware and biotechnological expertise, offering a scalable plug-and-play solution for industrial partners. Mycoproteins produced through this process offer a meat-like texture, essential amino acids, fibre, cell-bound fats, and a natural umami flavour, making them a potentially ideal ingredient for plant-based food applications.
“Since its foundation in 2024, VTEC Precision Foods, a subsidiary of the PHW Group, has been intensively dedicated to the fermentative extraction of raw materials from by-products of plant protein production. An investment and partnership in the field of fungal-based fermentation was therefore the next logical step for us. By closely networking our teams, we can develop innovative formulations and further optimise existing products. At the same time, this partnership strengthens our position in the field of fermentative raw material production and promotes the development of a competitive infrastructure,” says Marcus Keitzer, Chief Alternative Proteins Officer of the PHW Group.
By transforming food-industry by-products into high-quality, protein-rich ingredients for food, animal feed, and other bioproducts, Kynda aims to significantly reduces water consumption and greenhouse gas emissions compared to traditional protein production methods.
Additionally, its production model minimises transportation requirements by operating where byproducts are generated, further reducing CO2 emissions.
A core innovation of Kynda is the development of a new generation of fermentation reactors. These reactors enable partners to utilise side-streams— byproducts from food production —to create sustainable food products and animal feed. Rather than discarding nutrient-rich byproducts, Kynda’s technology repurposes them, fostering a circular economy that benefits businesses and the environment.
The user-friendly nature of Kynda’s bioreactors means they can be operated independently without requiring advanced technical expertise.
“With the vegan food market growing and consumers demanding minimally processed products, Kynda provides manufacturers with a sustainable and competitive solution to meet these trends for cleaner, healthier, and allergen-friendly food ingredients. This funding round, combined with strong partnerships and cutting-edge technology, enables Kynda to accelerate the adoption of circular economy solutions in food production and animal nutrition,” added Gerrit Gnisa of Enjoy Venture.
Clima Now is also convinced of Kynda’s approach: “Kynda’s innovative mycelium technology is a game-changer. By converting agricultural by-products into protein within 24 hours, they’re slashing greenhouse gas emissions and water usage. We’re proud to support this breakthrough in sustainable food production,” states Nathalie Moral, CEO of Clima Now.
Looking ahead, Kynda plans to scale up production at its new facility in Jelmstorf, near Hamburg, scheduled to open in Q2 2025. “Many of our customers require thousands of metric tonnes of product. This investment will allow us to increase our production capacity with our partners to meet those needs and to reach the mass market,” said Daniel MacGowan, Co-founder of Kynda.
Read the orginal article: https://www.eu-startups.com/2025/02/fungus-for-the-future-kynda-raises-e3-million-for-fungal-protein-production/
