News

DouxMatok gets $22 million funding

21 Jun 2019

DouxMatok has announced that it has raised $22 million in a series B funding round.

This funding enables large scale production and sales of its game changing sugar reduction solution to the food industry, as it commercializes in Europe and North America, DouxMatok says.

The company also plans to expand its technology platform to include next generation products and flavours, such as salt. The round, led by BlueRed Partners from Singapore, includes strategic investors: Südzucker, Royal DSM, and Singha Ventures, a corporate venture fund of Singha Corporation. Additional participants in the round included existing shareholders: Pitango Venture Capital, Jerusalem Venture Partners, Food Lab Capital, as well as new financial investors, including btov Partners, OurCrowd and La Maison.

The first product developed under DouxMatok’s proprietary platform is a sugar-based sugar reduction solution. Food products made with this solution of 40% less sugar than when made with the original recipes, are, according to the company, proven to be the same quality without compromising taste, mouthfeel, or texture. DouxMatok says it provides an answer to the growing concern from consumers around too much added sugar in their diets and the global call, including from regulators, for reduced sugar in food products.

The sugar reduction solution works by maximizing the efficiency of sugar delivery to the mouth’s sweet taste receptors, enhancing the perception of sweetness. DouxMatok’s technology platform is backed by 20 granted patents, and has been developed for over six years. Independent consumer and expert sensory panel tests are said to have confirmed that products made with DouxMatok sugars were not only perceived to be as sweet as the full sugar reference, but were often favoured in blind tastings both in terms of preference and purchase intention.

Eran Baniel, DouxMatok CEO and Co-Founder, said: "We are thrilled to have the opportunity to speed up commercialization so that we can lead the quest for reducing added sugars, while providing consumers with the tastes they love and want. We’re grateful to our new investors and existing ones for making it possible for the company to speed up growth so as to meet the huge market demand we’re experiencing.”

“The task of providing a sugar reduction solution is not only important for the consumer, but also for food corporations that rely on sugar to create the world’s top-selling products. We’re looking forward to supporting DouxMatok’s team in scaling their breakthrough technological platform globally, the only one that enables to reduce sugar with sugar,” said Yishai Klein, Managing Partner of BlueRed Partners, Series B lead investor.

DouxMatok is soon expected to complete the industrial manufacturing of its sugars in Europe, jointly with Südzucker, followed by commercialization in North America. In parallel, DouxMatok says it is engaged in multiple collaborations with leading food companies to reformulate popular products and to offer consumers a way to enjoy their favourite food and snack products with a greatly improved nutritional profile. Initial commercial quantities of DouxMatok sugar are expected to be available in the last quarter of 2019.

“We at Südzucker are thrilled to expand upon our collaboration with DouxMatok and leverage the already proven synergies, as well as additional resources gained as a part of the new funding round, to speed up availability of the innovative DouxMatok sugars in our key European markets,” stated Randolf Burisch, Head of Business Unit Sugar/Sales of Südzucker.

Ittai Harel, Managing General Partner at Pitango Venture Capital, that led the Series A funding round, said, “We’re committed to supporting companies with a world-changing vision, and DouxMatok has clearly proven to be such a company, with its focus and progress in developing and providing market access to a sugar reduction solution for food producers globally. We’re excited to be a part of such an innovative team and offering.”