Jack & Annie’s Secures $23M to Champion Jackfruit as Meat Alternative

Jack & Annie’s Secures $23 Million in Series B Funding

Jack & annie’s, a company specializing in sustainable meat alternatives derived from jackfruit, announced Tuesday the successful completion of a $23 million Series B funding round.

Investment Details

Creadev and Desert Bloom jointly led the investment. Additional participation came from Wheatsheaf, alongside existing investors Beta Angels and InvestEco.

Annie Ryu, founder and CEO, shared with TechCrunch that the company had previously refrained from publicizing details of prior funding rounds. She declined to reveal the cumulative amount raised to date, but confirmed this round exceeded the total from all previous rounds combined.

The Origin of Jackfruit Innovation

Ryu’s initial interest in jackfruit arose a decade ago during her time as a medical student at Harvard. She and her brother established a business, and a subsequent trip to India introduced them to the potential of this unique fruit.

Ryu discovered jackfruit’s resilience to drought and its high yield. Despite its abundance, approximately 70% of the harvested fruit went unused. Leveraging her background in global health, Ryu envisioned a solution to alleviate poverty by creating a market for the fruit and providing additional income for farmers.

Currently, the company collaborates with 1,000 farming families, contributing between 10% and 40% to their overall income.

Building a Jackfruit Supply Chain

Ryu focused on establishing “the largest supply chain for jackfruit.” This effort led to the launch of The Jackfruit Co. in 2015.

The Jackfruit Co. aimed to provide food products that capitalized on the fruit’s naturally “meaty” texture and, through research and development, a savory flavor profile. These products are also rich in essential nutrients, protein, and fiber.

Based in Boulder, Colorado, The Jackfruit Co. offers around a dozen products, primarily geared towards vegetarian consumers. The brand initially gained traction in Whole Foods and has since broadened its retail presence.

Introducing Jack & Annie’s

Launched in 2020, jack & annie’s is positioned as a more accessible brand. It features a range of 10 convenient, frozen food items designed for versatile meaty applications, including crumbles, meatballs, and nuggets.

Retail prices for these products range from $4.99 to $5.99 in the frozen food section and $6.99 to $7.99 for refrigerated options.

Competition in the Plant-Based Market

Several other companies have entered the plant-based sector, utilizing jackfruit as a key ingredient. Karana, a Singapore-based company, secured $1.7 million last year to develop plant-based pork alternatives from the fruit.

Upton’s Naturals, The Very Good Butchers, and Native Forest also produce meat alternatives incorporating jackfruit.

Rapid Expansion and Market Position

Within a year, jack & annie’s expanded its distribution to over 1,500 retail locations. These include major chains such as Whole Foods, Sprouts, Meijer, Wegman’s, Hannaford, Target, and Giant.

According to SPINS Natural Channel data from October 3rd, the brand is currently the third-largest frozen brand within the plant-based category and holds the leading position for nuggets in the natural foods channel.

Future Plans

The company has consistently doubled its revenue year-over-year. The new funding will be allocated to strengthening partnerships, driving innovation, expanding shelf space, and increasing overall distribution.

“Jackfruit possesses a remarkable ability to replicate the textures of beef, pork, chicken, and seafood,” Ryu stated. “We are only beginning to explore its full potential.”

Ryu further explained that the company aims to serve as an innovation partner for major food retailers, assisting them in developing more flavorful and healthier meat alternatives with transparent ingredient lists through their R&D facility in Boulder.