Opalia secures US$2.3M to expand cell-based dairy production

CANADA – Opalia has secured C$3.2million (US$2.3 million) in the first close of a funding round to expand production of its cell-based dairy and pursue regulatory clearance in North America.

Months after signing its first commercial supply deal with Dutch dairy giant Hoogwegt, Montreal-based firm Opalia has raised C$3.2 million (US$2.3 million) in fresh funding for its cell-based milk platform.

The funding, which brings Opalia’s total raised to $5.3M, will support its next phase of growth, including the development of a larger production model by scaling up its proprietary modular bioreactor.

Over the next 24 months, the company will validate its modular bioreactor, laying the foundation for rapid, capital-efficient capacity expansion with a view to entering the market in 2028 alongside Hoogwegt and other partners.

Opalia noted that its next milestone is regulatory approval, with submission work already underway in both Canada and the US. Regulatory filings in Asia and Europe will follow soon.

The investment was led by Nàdarra Ventures, with participation from Spring Capital, UCeed, Anges Quebec, and existing backers such as Investissement Québec, Cycle Momentum, and BoxOne Ventures.

The startup is now selectively engaging additional strategic investors, citing “strong early demand”, expecting to raise a further C$1.8 million (US$1.32 million) to bring the total funding sum to C$5 million (US$3.67 million) by mid-July, co-founder and CEO Jennifer Côté tells Green Queen.

“Funds will be used to develop a larger production system (that can produce higher volumes at lower costs); run a pre-commercial pilot with Hoogwegt (testing product viability at a small scale); file additional PCT patents (including strategic geographies); and continue the regulatory approval process (with an initial focus in North America),” she explained.

Founded in 2020 by Côté and CTO Lucas House, Opalia’s patent-pending technology can produce products like butter, cream, cheese, yoghurt, and other dairy products without the cow.

It has established an immortalised bovine mammary cell line, which means it doesn’t need to harvest any more tissue from the cow.

It grows its cells in bioreactors and induces lactation to produce the full composition of milk – including proteins, fats and sugars – in a similar downstream process to that of cow’s milk.

Unlike precision fermentation, which companies use to produce bioidentical dairy proteins or fats, Opalia’s serum-free cell-based process delivers milk as a ready-to-use product, not an ingredient.

It can be sold directly as fluid or powdered milk to B2B customers, seamlessly integrating into existing dairy supply chains and enabling companies to incorporate animal-free dairy into their portfolios.

To receive our email newsletters with the latest news and insights from Africa, the Middle East and around the world, SUBSCRIBE HERE