Steakholder Foods has announced a royalites and raw materials supply agreement with Israel’s Wyler Farm.

Under the agreement, Wyler Farm will manufacture alternative proteins on a commercial scale using Steakholder Foods' premixes and knowledge, in return for the payment of royalties from sales.

The agreement is expected to generate Steakholder Foods' first commercial revenue and marks its early transition from R&D to commercialisation.

The Cell Base first reported on Steakholder Foods and Wyler Farm's commercial relationship in February, when the companies signed a MoU whereby Wyler Farm acquired Steakholder Foods’ printer, in a transaction valued at “several million dollars”.

Production of the new plant-based meat products is expected to begin in Q3 2024. Wyler Farm will manage the production process to ensure product quality and the integration of Steakholder Foods' advanced production technologies, while leveraging its market influence to ensure that the products are available at a wide range of sales points.

The commercial revenue generated from the agreement is expected to be realised by the end of the year, from the production and sale of a diverse range of plant-based minced-meat products, including burgers, mince and meatballs.

These products will use Steakholder Foods' SHMeat premix blends of plant proteins, fats, fibres and natural flavours.

In the future, the companies will consider selling new products, such as sausages and kebabs, once Steakholder Foods completes the development of these products.

The agreement is strategic for both parties. While Steakholder Foods will contribute by bringing production knowledge and its expertise in producing premix blends, Wyler Farm brings its established brand and robust production and sales capabilities.

Steakholder Foods and Wyler Farm will continue negotiations to reach a second-stage follow-on agreement, in which Wyler Farm would produce plant-based 3D-printed meat products utilising Steakholder Foods' proprietary 3D printing technology and premix blends, including producing a printed beef steak.

Arik Kaufman, CEO of Steakholder Foods, said: "This transformative collaboration marks a pivotal milestone for our company – a significant step into generating our first revenue and realising the immense potential of our technology. It validates years of cutting-edge research and development by our dedicated team and solidifies our position at the forefront of innovation in the plant-based and cultivated food space.”

He continued:

Wyler Farm’s CEO Oleg Kulyava added: "Our agreement with Steakholder Foods enables us to significantly broaden our alternative protein product portfolio, reinforcing our goal of producing a broad spectrum of high-quality, plant-based foods. We expect our adoption of Steakholder Foods' technologies will propel Wyler Farm to be a leading brand in the plant-based alternative meat sector."

Steakholder Foods’ premix blends are in compliance with food safety regulations, using only ingredients Generally Recognized as Safe (GRAS).

#SteakholderFoods #WylerFarm #Israel