Spacegoods, a next-generation wellness brand specialising in functional mushrooms and nootropics, has raised a €2.9 million seed round. The investment was led by foodtech specialist venture capital firm Five Seasons Ventures, with participation from Redrice Ventures, Slingshot Ventures, and G-FUND.
The investment will enable Spacegoods to solidify its position as the leading mushroom-based wellness brand in Europe through market expansion, team growth, and the development of new products. Spacegoods previously raised a £500k pre-seed round from angel investors.
Launched in April 2022 by seasoned e-commerce entrepreneur Matthew Kelly, Spacegoods embraces the power of functional mushrooms and adaptogens to help with focus, energy and overall wellness.
Matthew Kelly, Founder of Spacegoods, said: “Spacegoods emerged as the solution to health and wellness challenges I experienced building previous companies. I explored the benefits of functional mushrooms and natural adaptogens for my own health, and this led to the creation of Spacegoods and our first product, Rainbow Dust. An all-in-one blend that helps focus and provides an energy boost similar to coffee but free from anxiety, jitters and crashes. We want to help more people to feel their best through the benefits of functional mushrooms.”
Kelly continued: “The functional mushroom space is relatively untapped in Europe – with this investment and the support of our investors, Spacegoods has a huge opportunity to be the European market leader.”
The adaptogenic mushroom market, valued at approximately $10.9 billion in 2022, is expected to grow 10 percent annually, reaching a projected value of $30 billion by 2032.
Saskia Hoebée, Principal at Five Seasons Ventures, commented: “Spacegoods is a first mover in a novel category of mushroom-based energy and supplements and has the vision to become a category leader in the space. The company operates at the crossroads of three trendy markets: supplements, functional drinks and coffee replacements, all in which high growth is expected in the coming years due to increased consumer demand for clean energy and broader wellness”.
Spacegoods offers well-researched and innovative wellness products that help customers manage stress and anxiety and enhance general well-being. It has gained significant momentum, achieving an impressive growth rate primarily through direct-to-consumer sales on its webshop. It has a strong position in the United Kingdom and key European markets such as the Netherlands and Germany.
The company collaborates with nutritional experts and testing labs to create highly effective formulas. Its day blend, Rainbow Dust, enhances focus and energy, while its night blend, Astro Dust, promotes relaxation and restful sleep without drowsiness.
Produced in England, these blends are 100 percent natural and safe, combining adaptogen mushrooms with nootropics such as ashwagandha and lion’s mane. Both come in a chocolate flavour, are vegan, cruelty-free, and versatile enough to be enjoyed with water or milk or added to evening tea or a protein shake.
Robert Senior, Partner at Redrice Ventures, added: “We are delighted to participate in the Spacegoods fundraise. We were drawn by the combination of a prescient thematic and an irrepressible founder. If anyone can scale a mushroom and nootropics wellness drink, Matt can.”
In addition to product development and research, the funding will support team expansion in London, with Spacegoods hiring across growth, marketing and product teams.
Read the orginal article: https://www.eu-startups.com/2024/02/london-based-spacegoods-munches-on-e2-9-million-to-become-europes-leading-functional-mushroom-brand/
