"Entosystem plans to divert 40,000 tons of organic materials per year, produce 5 tons of flour and 7 tons of organic fertiliser per day, as well as create over 20 new employment opportunities in the Estrie region."
Photo: Entosystem
Entosystem, an insect protein producer based in Quebec, Canada, has secured a major funding boost of CAD $58 million from investors Idealist Capital, Sanimax, and Fondaction, the company has announced.
The strategic investment aims to accelerate the company's growth, including supporting construction of a second commercial plant to meet rising demand for eco-friendly proteins and fertilizers.
Entosystem currently operates a carbon-negative plant in Drummondville, Quebec that transforms 90,000 tonnes of organic material annually into 5,000 tonnes of high-quality insect protein meal and 15,000 tonnes of organic-certified fertilizer, based on black soldier fly.
This process not only reduces greenhouse gas emissions by 85% but also generates carbon credits and diverts organic waste from landfills, reintroducing valuable nutrients back into the agricultural supply chain, the company said.
"With this expansion, we’ll reclaim even more organic matter from landfills, significantly reducing Greenhouse Gas (GHG) emissions and driving a more sustainable future for agriculture and animal nutrition," Entosystem said in a LinkedIn update.
"We’re proud to show how our industry is thriving and also delivering on its environmental promises by tackling the food waste problem," the company added.
"This agreement is the result of a rich collaboration with strategic business partners and, above all, the dedication of an outstanding team without whom Entosystem would not have been able to position itself so quickly as a world leader in its sector. We have all the keys in hand to achieve our ambitions and grow," said Cédric Provost, President and Co-Founder of Entosystem, in a press release.
For Sanimax, which specializes in circular economy practices, this investment is a natural fit, according to CEO Martial Hamel. "Entosystem’s sustainable approach resonates with our core mission. We are thrilled to back a company that is making a tangible impact on environmental sustainability," Hamel said.
"With the Drummondville plant, Entosystem has demonstrated at scale its process for the economic reclamation of organic matter through the production of proteins for animal feed and organic fertilizers," added Steeve Robitaille, Co-Managing Partner at Idealist Capital. "We are excited to support the Entosystem team in the next phase of its scale-up in a booming industry."
Claire Bisson, Vice-President and Head of Investment at Fondaction, a labor-sponsored investment fund which champions sustainable investment in Quebec, remarked, "Entosystem is contributing to the reduction of the livestock sector’s carbon footprint. Supporting them means amplifying this positive impact on our environment."