Danone Invests in Standing Ovation to Boost Animal-Free Dairy Proteins

Danone Ventures, the venture capital arm of the dairy giant Danone, has participated in a Series B funding round for Standing Ovation, a French startup specializing in animal-free dairy proteins. The round raised a total of $34.2 million, with $28.5 million in equity financing co-led by Bpifrance via its Ecotechnologies 2 fund and Crédit Mutuel Innovation. An additional $5.7 million in non-dilutive financing was provided by Bpifrance and a banking syndicate.

Standing Ovation plans to use this funding to commercialize its proteins, beginning with the United States as its primary market. This will be followed by expansions into Europe and Asia by the end of 2027. The startup converts whey permeates into caseins through precision fermentation, offering an ingredient called Advanced Casein, which is structurally identical to dairy casein derived from livestock.

Among the returning investors is the Bel Group, which owns brands like The Laughing Cow and Babybel. Bel Group first invested in Standing Ovation in 2022 and has signed an exclusive partnership to use the startup's casein milk protein in its alternative cheese products. Standing Ovation aims to innovate the protein production industry by combining technological advancements with the dairy sector's expertise.

The company has decided against building its own production facilities and instead partners with established fermentation manufacturers. This strategic choice aligns with its vision of pioneering a sustainable and circular approach to protein production, addressing growing global demand.

The recent financing round follows a €16 million ($18.5 million) Series A round previously secured by Standing Ovation. The startup continues to focus on bridging the gap between the agri-food industry and deep tech through its patented technology.