Shinsegae Food to invest $6M into plant-based subsidiary Better Foods
Shinsegae Food will invest $6 million into Better Foods, a wholly-owned U.S. subsidiary that will manufacture plant-based foods.
The investment will be made and the subsidiary will be established both in August, according to the food company.
Another $4 million will be injected into Better Foods in the first half of 2023 by issuing new shares.
Shinsegae Food expects the new U.S. subsidiary to help it expand its plant-based meat business abroad, which is currently carried out locally under its brand Better Meat. The brand sells plant-based sliced ham and patties, and supplies them to Starbucks, a Shinsegae affiliate.
The company aims to target the global plant-based meat market, which is expected to grow 19.3 percent on year on average from 2022 to reach $24.8 billion in 2030.
Shinsegae Food said it is planning to build manufacturing facilities abroad following the establishment of Better Foods. The subsidiary will focus on getting Better Meat products featured on global online markets and available at retail stores.
“We plan to create momentum in expanding our alternative meat business with Better Foods,” said a spokesperson for Shinsegae Food. “We will participate in various activities to make our Better Meat brand into an alternative meat provider that leads not only to the local market, but also markets abroad.”
BY LEE TAE-HEE [email@example.com]