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Coconut Collab secures £1.5m investment to drive scale up phase
The investment was provided by the firm’s existing shareholders, which include US venture capital firm Ground Force Capital.
Founded in 2014 by James Averdieck following the sale of his first venture Gu Desserts, The Coconut Collab manufactures coconut-based yoghurts, creams, custards, puddings and drinks. It has recently developed a barista-style dairy-free drink called M!LK.
With its Series B funding round now closed, the company is looking to emerge from the start-up phase by scaling its operations and accelerating growth. The Coconut Collab is primarily focused on growing its market in the UK and Europe, while it will also expand its product portfolio throughout 2024.
In 2020, The Coconut Collab secured $7m (£5.5m) in a Series A investment round, which was led by Ground Force Capital. The funding enabled the business to unlock growth in the UK and internationally through the development of new products and investment in its marketing operation.
During 2023 the firm posted 15% and now has products available with all major retails in the UK. It also has a presence in Ireland, France, Germany, the Netherlands and Austria, and boasted customers including Virgin and Starbucks.
Commenting on the funding round, Averdieck said that The Coconut Collab had been able to demonstrate rapid growth over the past 10 years due to the support it has developed among a “rising number of consumers” that are actively seeking out “delicious, quality and, increasingly, sustainable dairy-free alternatives”.
“Our range delivers across all these requirements, with this investment allowing us to continue expanding the business, reaching more customers and realising our ambition to bring the category more mainstream,” Averdieck added.
“We take a unique approach within the category: our coconut yoghurt is luxuriously thick and creamy, with a sweetness originating solely from the natural sugars found within the coconut and fruits we use. We know that one of the things consumers love about our products is the health benefits, such as how low in sugar they are, combined with the taste and texture. Unlike most of our competitors, we do not add water to our products. Our yoghurts are made of over 95% coconut, so we do not need to use heavy stabilisers. No nasties and no shortcuts create the creamy and indulgent texture we are known for.”
In other news, the top TikTok food trends in UK for 2023 were revealed as overnight oats and coronation chicken according to new research.
