Oprah Winfrey and Katy Perry participated in the Californian start-up’s latest funding.

Apeel Sciences has pioneered a high technology solution to reduce food waste. It created an edible spray-on coating made from plant materials that can be applied to perishable food. The coating can double or even triple the life of avocados, lemons, and limes. (The Guardian)

Marquee investors

Singapore sovereign wealth fund GIC led Apeel Sciences’ latest round of funding. Other investors who participated included Viking Global Investors, Upfront Ventures, Tao Capital Partners, and Rock Creek Group, as well as stars such as Oprah Winfrey and Katy Perry.

Investors appreciated Apeel’s mission to tackle the disruption to the global food supply chain caused by COVID-19. According to the company, it saves wastage of about 20 million pieces of fruit at retail stores and homes.

In 2012, the fledgling start-up received a grant from the Bill and Melinda Gates Foundation. The mandate: to reduce food waste in emerging countries that had no refrigeration facilities. Shockingly, about a third of all the food produced globally goes to waste every year.

The latest funding will help Apeel to tackle food security issues in sub-Saharan Africa, Central, and South America. The startup will support farmers and communities in these locations. The money will also help the company expand its operations.

Food waste costs $2.6 trillion

James Rogers, the Apeel Sciences founder and chief executive, said: “Food waste is an invisible tax imposed on everyone that participates in the food system. Eliminating global food waste can free up $2.6tn annually, allowing us to make the food ecosystem better for growers, distributors, retailers, consumers, and our planet. We’re putting time back on the industry’s side to help deal with the food waste crisis and the challenges it poses to food businesses.”

On average, grocers that use Apeel have benefited from a 50% reduction in shrink, a 5-10% growth in dollar sales, and an additional 10% growth in dollar sales when sold in conjunction with in-store marketing campaigns.

Apeel has raised approximately $360 million in total financing to date.

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