New York-based startup Helaina has successfully closed a $45 million Series B funding round, led by Avidity Partners, with additional contributions from notable investors including Spark Capital, Ingeborg Investments, and several others. This latest investment round increases Helaina’s total equity funding to $83 million and positions the company to scale the production of its flagship product, human lactoferrin, marketed under the brand name effera.
Human lactoferrin, a bioactive protein found in human breast milk, plays a vital role in iron homeostasis, metabolism, immunity, and microbiome health. Helaina is targeting its lactoferrin product at several burgeoning sectors, including women’s health, active nutrition, and healthy aging. As the first human lactoferrin to enter the market, effera is being sold as a business-to-business ingredient to consumer brands in functional foods, beverages, and supplements. The company has already established partnerships with brands such as Kroma Wellness, The Feed, and Levelle Nutrition, with plans to expand its reach through strategic distribution channels.
Helaina’s CEO and founder, Laura Katz, emphasized the unique position of human lactoferrin in the market. “Precision fermentation is not cheap, so it’s really difficult to use it to make food ingredients that are commoditized,” she explained. However, by replacing the high-cost bovine lactoferrin with a human-derived alternative, Helaina is tapping into a significant gap in the market, particularly as bovine lactoferrin is expensive to purify from cow’s milk and often in short supply. Katz noted that their innovative yeast-based platform, powered by machine learning, enables the production of human bioactive proteins in a more economically viable manner over time.
The implications of this funding and product launch are significant, especially in light of rising consumer interest in health and wellness products. Lactoferrin is particularly appealing to companies focused on women’s health, as many women face iron deficiencies and experience digestive issues with traditional iron supplements. Furthermore, the active nutrition market presents an opportunity for lactoferrin to reduce inflammation, making it attractive to athletes and fitness enthusiasts.
Helaina has conducted a robust clinical study that is currently undergoing peer review, demonstrating that their human lactoferrin does not trigger antibody production in the body, unlike its bovine counterpart. This feature could enhance its appeal, especially among consumers looking for a more tolerable option. Lactoferrin’s versatility allows it to be incorporated into a variety of products, including yogurts, bars, beverages, powders, gummies, and capsules, expanding its potential market applications.
The market for lactoferrin is ripe for growth, with increasing interest from brands focused on high-value, clinically backed specialty ingredients. For instance, Mitsubishi International Food Ingredients has expressed keen interest in partnering with Helaina due to its alignment with their focus on premium dietary supplements. Healthgevity, a practitioner-grade brand, also aligns with Helaina’s mission, targeting an audience likely to be early adopters of this innovative ingredient.
As Helaina ramps up production through contract manufacturers, the company is well-positioned to meet the growing demand for human lactoferrin. With its focus on addressing specific health needs and its commitment to leveraging advanced fermentation technology, Helaina is set to make a significant impact in the health and nutrition sectors. The successful funding round not only validates the company’s vision but also underscores the increasing investment interest in precision fermentation and bioactive ingredients that cater to evolving consumer preferences.