TurtleTree bags new capital to scale lactoferrin output

Republished from Tech in Asia. Original article here.

TurtleTree, a California-based biotech startup that produces an animal-free version of the milk protein lactoferrin, has secured an undisclosed amount of funding from global biotech firm Novonesis and Japan’s Mitsui Chemicals.

Existing investor Steve Melhuish of 100×100 also “doubled down in this round,” TurtleTree founder and CEO Fengru Lin told Tech in Asia.

The startup will use the new capital to speed up product commercialization, improve its manufacturing efficiency, and expand globally.

TurtleTree was founded in Singapore in 2019 before expanding into the US and getting an FDA license, which allows the company to sell its ingredient in the market.

Lactoferrin benefits a person’s gut health, immunity, and iron regulation. The protein’s rarity drives up its prices, though even small doses can already be effective.

“For lactoferrin, it’s a low-volume inclusion ingredient. You just need 250 milligrams to get the benefit,” Lin explained. “So the manufacturing footprint is a lot smaller, and it’s very expensive [to trade] at US$800 per kilogram.”

One of TurtleTree’s products is IronKind, a vegan dietary supplement brand. The startup also has partnerships with other brands where it supplies the lactoferrin used in their products.

Lin said that as part of the fundraise, Novonesis will support TurtleTree with manufacturing and its entry into the dietary supplement markets. Meanwhile, Mitsui Chemicals aims to help the startup with its entry to the Japanese market.

TurtleTree previously secured US$30 million in series A in November 2021, alongside a US$3.2 million seed round in June 2020.