To Invest in Alternative Protein Companies

Jang Dong-hyun (right), president of SK Inc., and Chen Xiaofeng, CEO of Joyvio Group, pose for a photo after signing an MOU online.

SK Inc. announced on July 26 that it has signed a memorandum of understanding (MOU) with Joyvio Group of China to set up a fund for investment in China’s alternative food sector.

Joyvio Group is an F&B distribution company founded in 2012 by Legend Holdings, which has a number of premium fruit and seafood brands in China, Australia and Chile. SK Inc. invested about 220 billion won in Joyvio Group along with a Korean private equity fund in 2019.

SK Inc. and Joyvio Group plan to create a 100-billion-won Sustainable Food & Consumption Fund to invest in Chinese manufacturers of alternative protein such as plant-based meat and fermentation protein.

The two companies also agreed to cooperate with promising IT technology-based food technology companies such as vertical farm companies and jointly push for global alternative protein companies’ advancement into China.

Z-Park River Capital (ZRC), a Chinese technology fund manager, is in charge of managing the fund. Founded in Beijing in 2013, ZRC has contributed to the growth of Chinese startups.

Besides SK Inc. and Joyvio, leading Chinese food companies and a Chongqing local government fund will participate in the investment fund. Synergies are expected as the participants in the fund have the ability to analyze the market and execute business projects in addition to investment capabilities.

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