Healthy snacking company Nourish Foods says its third equity raise with Birchal will fuel further growth domestically and overseas.
Nourish Foods is the family-owned company behind the brands Whole Kids, OffBeat, and Just Add. Founded in 2005, Monica and James Meldrum launched organic, plant-based, additive-free and allergen friendly snacks brand Whole Kids.
The company was Australia’s first food company to achieve B Corp certification, with a commitment to balancing purpose and profit and be part of a community driving the global movement of people using business as a force for good.
Nourish Foods’ first two Birchal campaigns were in 2020 and 2021.
In 2020, it raised more than $1.1 million from nearly 600 investors and more than $1.2 million in 2021 from 500 investors. In the second round more than 20 per cent were re-investors from the first round.
Since the last raise, Nourish Foods said it had made “significant strides” to streamline its operations and product offerings, which has seen the business improve margins and lead times.
Snapshot
- More than $23 million in revenue generated in the past 5 years;
- gross revenue has increased by 45% in the first half of FY22 compared to the same period
- in FY21;
- total annual gross revenue has grown by 27% in FY22 compared to FY21; and
- Sales in Woolworths experienced exceptional growth of 76.8% over the past year,
- surpassing the category average of 10.6% (52 weeks to w/e 29/01/2023).
The company has also launched two new brands, OffBeat and Just Add, with the goal to “evolve into a strong multi-brand business focused on creating innovative, healthier food options for the entire family”.
OffBeat, a snacking brand targeting Gen Z (11-26yr olds), prioritises planetary and personal health with a range of plant-based snacks made with real ingredients, delivering a delicious taste without compromising on health and nutrition.
Nourish Foods co-founder and CEO Monica Meldrum said, “OffBeat represents our commitment to offering guilt-free snacking options that align with the values and preferences of the younger generation. We believe in creating products that are both tasty and better for the planet.”
Just Add is a baby food brand that also addresses pouch packaging waste. Just Add products are made using an innovative process that locks in the taste, texture, and nutrients of homemade baby food in pre-proportioned, compostable sachets, giving parents the quality and convenience, they seek, without the environmental cost.
With the simple addition of liquid, Just Add easily mixes into a nutritious meal for babies, that is ready to serve in under a minute.
Meldrum said, “We are proud to present Just Add as an innovative and sustainable alternative that saves time for busy parents while prioritising both the health of their children and the environment.
“Around 100 million baby food pouches are sent to landfill every year in Australia. These pouches are 50 times worse for our environment than single-use coffee cups.”
The latest raise
Nourish Foods said it is inviting investors, ranging from individuals to sophisticated and institutional backers, to join them on the next phase of growth.
Meldrum said, “We are thrilled to embark on our third equity crowdfunding campaign. The support we received from our investors has been instrumental in driving our growth and innovation. We are thrilled to offer this exclusive opportunity for new and existing investors to join us as we continue to expand our presence in Australia and beyond.”
She said around 39 per cent of current investors are expected to reinvest, mirroring their second funding round in 2021.
“Our shareholders have become a vital part of our journey, providing invaluable feedback, research support, and contributing to our product development. We are grateful for their dedication and belief in our brand,” Meldrum said.
