Battle Creek-headquartered Kellogg Co. has announced plans to invest $100 million in start-up businesses working on new ingredients, foods, packaging, technology, and more, through its new venture capital fund.
“As consumer preferences move toward more diverse tastes and trends, the pace of innovation in the packaged food industry continues to intensify,” says Gary Pilnick, vice chairman of Kellogg Co. “By investing directly in the most promising entrepreneurs and ventures, we can increase greatly our access to game-changing ideas and trends that could become significant sources of growth for us.”
The company’s new venture fund, Eighteen94 Capital, will invest in emerging businesses in Kellogg’s core and adjacent categories, and in companies that have developed new consumer-driven technologies that could lead to long-term, mutual growth opportunities.
Pilnick says the fund will emphasize early stage opportunities with companies that have demonstrated good product and market fit, and have generated initial revenue. The fund will also provide companies with growth capital, and access to Kellogg resources and expertise.
Eighteen94 Capital will be managed by Simon Burton, a 10-year executive at Kellogg who has investment experience in the consumer products sector and with start-ups.
The company has also partnered with Los Angeles-based Touchdown Ventures, which specializes in corporate venture capital, to assist with management of the fund.