Ingredion is partnering with Cosaic, giving the ingredient giant access to the startup’s “novel” product to improve plant-based and dairy products while accelerating a push to tap external innovation to deepen its portfolio.
The Illinois-based company has been watching Cosaic for 18 months, Eric Weisser, Ingredion’s head of open innovation and customer innovation, said in an interview. His company was excited by Cosaic's yeast-based emulsion, a clean-label solution that enhances the creaminess and stability of products, while also providing nutrients like protein and fiber without the need for additives.
What attracts Ingredion to the Swiss-based biotech’s ingredient, called Cosaic Neo, is that it brings “more than one primary attribute to the party,” Weisser said. The offering has stabilizing, emulsifying and texturizing functions, making it a “novel ingredient” because multiple attributes are housed together.
Cosaic Neo also provides attributes that are sought after by food manufacturers, including clean label, non-GMO and allergen-free. And the fact that it’s fermented allows for flexibility to adjust the fat, protein or fiber content depending on a food company's desired goals.
While Ingredion has partnered and invested in nascent companies before, including The Every Company for sugar-reducing technology and Oobli for sweet proteins, these businesses were further along when it came to raising money. Cosaic is much earlier in the process, making it more conducive to a relationship rather than an equity investment, Weisser noted.
“We don’t have the wherewithal, and shouldn’t be, exploring in every possible space,” Weisser said. “We’re really leaning into new ingredients and new ingredient technology. It gives us solutions in areas where we don’t necessarily have ready-to-market, available options.”
Most of the products that Ingredion offers to its more than 18,000 customers worldwide come from established ingredients and manufacturers.
Adding Cosaic Neo to the mix brings a product with a unique value proposition for Ingredion.It also helps the company build its presence in ingredients that are produced using biotechnology methods, such as fermentation, which is a priority for the nearly 120-year-old business.
Tomas Turner, Cosaic’s co-founder and CEO, said the partnership “marks a pivotal moment” for the four-year-old company.
“It validates the years of research we’ve poured into reimagining what ingredients can do,” Turner said in a statement. “With Ingredion’s global reach and technical excellence, we can accelerate commercialization and make clean-label creaminess a scalable reality.”
Ingredion will help the Swiss biotech food startup to commercialize Cosaic Neo in the U.S. and co-develop new products. Cosaic's portfolio already includes solutions for sauces, dressings and protein shakes, though Weisser said the ingredient is in the process of being scaled and offered to food and beverage companies.
Weisser said Ingredion expects to work closer with startups through partnerships and equity investments as part of the company’s broader effort to “really use an external environment to test and test fast.”
“It has to be part of our DNA going forward,” he added.
