Mandalay Venture Partners Deploys First Round of QIC VC Funding to Pioneering Qld Agritechs
Nbryo and Naturo - Revolutionising Livestock Genetics and Transforming Milk Processing
Brisbane, Australia
September 17th, 2024 – Mandalay Venture Partners is pleased to announce the first deployment of funds from the Queensland Investment Corporation's (QIC) Venture Capital Development Fund (QVCDF). The inaugural investment supports two pioneering Queensland startups - Nbryo and Naturo which have transformative technologies in livestock genetics and milk processing respectively.
Mandalay specialises in early-stage investments in agrifood technology. With a hands-on approach, the VC partners with visionary entrepreneurs to transform groundbreaking ideas into thriving businesses that can reshape the global food system.
Mandalay was among an initial five venture capital firms selected by the Queensland Government to receive a portion of a newly established $130 million fund aimed at investing in the state’s start-ups. The QVCDF offers up to $20 million in matched funding to approved VC firms, with the stipulation that these firms spend 1.25 times the allocated amount within Queensland.
Managing Partner Mark Gustowski said the strategic deployment of capital to Nbryo and Naturo underlines Mandalay’s commitment to fostering local innovation and highlights the potential of Queensland startups to lead in global markets.
"We are thrilled to support Nbryo and Naturo through the first deployment of QVCDF funds," he said.
"These companies exemplify the innovative spirit of Queensland and align perfectly with our mission to drive sustainable growth and technological advancement in the agritech and food sectors. This investment not only accelerates their development but also enhances Queensland’s reputation as a leading destination for startup innovation."
With less than 2% of Australian venture funding directed towards agritech startups, Mandalay aims to shift this imbalance by showcasing the sector's potential for delivering venture-style returns. Their focus on food security, sustainability, and ESG principles underscores the critical and lucrative opportunities within agritech, positioning it as a key area for impactful investment.
“QIC’s investment into Mandalay, alongside the NRMA and a suite of family offices, provides a signal to the market that the sector remains a priority for Australia,” Mark Gustowski said.
“It also gives comfort to investors that don’t have a speciality lens in agrifood tech that the Mandalay team have ‘best in class’ processes and governance around our investments.”
“Australia exports more than 70% of its agricultural products to global markets, amounting to approximately $80 billion,” he said.
“This positions our agritech and foodtech sectors to transform Australia into Asia's food bowl. By leveraging our startups, we can export not only premium products but also advanced capabilities and technology, driving innovation and growth in international food markets.”
Naturo founder and CEO, Jeff Hastings
Naturo: Biggest breakthrough in milk since pasteurisation
Naturo has pioneered a revolutionary non-thermal processing technology that improves the digestibility of milk and triples its shelf life. The Haelen method surpasses traditional pasteurisation by eliminating more pathogens while preserving beneficial nutrients typically lost in conventional processes. New developments of the technology have demonstrated that milk proteins are treated in a completely unique way, enabling improved digestion, less intolerance, sustained protein release and ultimately greater amino acid bioavailability. This innovation takes the commodity out of the fridge, up the value chain and into the health and performance aisle, opening new market opportunities in areas such as sports recovery, toddler nutrition, gut health, and elderly care.
The Haelen method also increases the shelf life of fresh milk from a standard 14 days to 60, enabling sea freight export shipping options for the first time. The process has received formal approval for both domestic and international sales, marking it as the first non-thermal milk technology to be approved for export.
Naturo Founder and CEO, Jeff Hastings said the company is uniquely positioned to make a significant impact on the market dynamics and shifting focus of dairy and processors towards higher value, ready to drink products and consumer demand for health based, convenient and functional nutrition products.
"Through our revolutionary 'Haelen' technology, we're not just transforming milk; we're setting new standards for nutritional integrity and freshness in the ready-to-drink market,” he said.
“Our process responds directly to the consumer's growing preference for natural, health-enhancing products that don’t compromise on taste or quality. This innovation represents a leap forward in functional nutrition, delivering unparalleled benefits to both processors and consumers globally."
Nbryo co-founder Euan Murdoch, left, Mandalay Managing Partner Mark Gustowski, middle, with chief executive Gerard Davis at the Murdoch family's highly innovative Nindooinbah artificial breeding centre south of Brisbane.
Nbryo: 7 years in 7 days
Nbryo’s cutting-edge technology enables large-scale commercial production of bovine embryos. By significantly accelerating genetic improvement processes it allows livestock producers to achieve in seven days what would traditionally take seven years. Their comprehensive technology suite includes technologies for large scale production, characterisation and transfer of bovine embryos underpinned by a digital platform.
The innovation aims to meet the growing global demand for efficient and sustainable livestock production while increasing feed efficiency and reducing methane emissions as well as addressing other critical industry challenges.
Nbryo CEO Gerard Davis said the technology is breaking down barriers to advanced breeding techniques.
"Embryo transfer as a technology has long been a powerful tool for accelerating genetic improvement in livestock, but its adoption has been limited to a small fraction of the industry due to its high cost and complexity.
Nbryo is revolutionising this landscape by making embryo transfer technology accessible and affordable for all commercial producers to achieve the rapid genetic advancements typically reserved for the top tiers of breeding."
He said Mandalay’s investment marked a milestone for the company and underscored the confidence in its mission.
“Nbryo is very excited to be partnering with Mandalay and receiving their financial support is a key endorsement of our plans and technology development progress,” he said.
“We look forward to leveraging their knowledge, networks and experience as we commercialise the Nbryo platform with the intent to have a significant positive impact on productivity and sustainability of beef and dairy systems in Australia and globally.”
Media Release Details
Further imagery and assets:
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For media enquiries, please contact:
Melissa Hamilton, Media and Capital Partners
Email: melissa.hamilton@mcpartners.com.au
Mobile: (+61) 0417 750 274
About Mandalay Venture Partners:
Mandalay Venture Partners supports pioneers of change in solving critical challenges across the ‘farm-to-fork’ value chain. Our ‘North Star’ is to sustainably feed the world’s growing population by strategically investing in early-stage agrifood tech companies with high scalability potential, impact, and capital returns. Through our “sleeves-up capital” approach, we are accelerating the global transformation to a more sustainable and food-secure agrifood sector.
Founded to meaningfully contribute to addressing global challenges, Mandalay captures the investment opportunities of the 21st century. We focus on enhancing food security resilience and ensuring that agriculture plays a vital role in the race to net zero. Our founders are deeply passionate about these causes. Mandalay has invested in six mission-aligned agrifood tech startups, with a goal to nurture 20 to 30 more over the next four years.
Find out more at Mandalay Venture Partners