Food & AgricultureFunding

The Largest Seed Funding Rounds In South Africa’s History: Inseco

Story Highlights
  • In one of the largest seed funding rounds in South Africa’s history, Futuregrowth was the lead investor in Inseco, a start-up company using black soldier flies to convert low-value organic by-products into high quality protein, oils and fertilizer.

This $5.3-million venture capital investment in the agriculture reflects space is testimony to the company’s diversification into worthy, impact-driven assets, said Amrish Narrandes, the head of unlisted equity transactions at Futuregrowth.

In a media release, the company confirms the Inseco transaction is the ninth venture capital deal done via the Futuregrowth Development Equity Fund. This is said to reflect the fund’s strategy of diversification into worthy early-stage assets.

It also aligns with Futuregrowth’s growing focus on investing in innovative and sustainable initiatives across the agricultural value chain, especially when these have a beneficial impact on the planet.

tion to the strong ESG case, insect protein has a superior nutritional content, which results in higher feed conversion rates compared to traditional protein sources.”   

Various reports predict that the global demand for insect protein could reach 500 000 metric tons by 2030, compared to the current production of 10 000 metric tons. Although there are many potential uses for insect protein, it is estimated that the largest demand will come from the pet food and aquafeed markets.

With the global pet food market alone valued at $38 billion, Inseco stands to service a very large market.

Furthermore, the insect protein market is forecast to reach $4.6 billion by 2027. Growth in this market will be driven by increased greenhouse-gas reduction initiatives, and heightened awareness of the need for sustainable food sources to alleviate food security concerns.

Although human consumption of insects has not received wide-spread adoption in the West, there are currently over two billion people in the world consuming insects as part of their diets.

Venture Burn

Nichole Manhire

Is the media and brand manager at GFA News. She works very closely with editors and podcasters that contribute to telling the African business success story. For marketing and advertising send Nichole an email:

Related Articles

Leave a Reply

Your email address will not be published.

Back to top button