Kellogg’s Starts New Fund to Help Launch Food Industry Startups
Food Technology is rapidly changing, and Kellogg’s wants to be at the front of that wave. It has recently launched a venture arm called Eighteen94 Capital (1894) to invest in startups in the food industry.
The name is inspired by Kellogg’s own history, as it was founded in 1894 by two entrepreneurs, Dr. John Harvey Kellogg and his brother, W.K. Kellogg. And while the product created may have changed from cereal to technology, the core values of entrepreneurialism have not.
According to 1894 Managing Director Simon Burton, “The rate of innovation across our industry has picked up dramatically, things are changing quickly, and investing is a great way to get a sense of what’s going to be important in the future.”
The venture will invest $1 to $3 million in North American companies that are related to the food industry in any way — from natural and organic food producers to inventors of sales and marketing technologies.
Traditionally, consumer packaged goods giants have not inhabited the same space in the food industry as venture investors. But as new technology begins to figure more heavily into their day-to-day operations, 1894 joins a new wave of venture capitalist arms of food giants; General Mills already has its 301 INC fund, and Campbell’s Soup Co. owns Acre Venture Partners.
This is only the latest venture by Kellogg’s to become more invested in the future of the food industry. Previously, the company decided to eliminate artificial flavors in its cereals by 2018 and ensure its eggs are cage-free by 2025.