November 25, 2024

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Better Foods and Shinsegae Food CEO Song Hyun-suk (left) and Cleveland Avenue Founder and CEO Don Thompson pose for a photo after signing an investment agreement at the head office of the Shinsegae company in Seoul. (Shinsegae Food)

Better Foods, Shinsegae Food's subsidiary specializing in plant-based products, said Thursday that it has secured investment from the US venture capital investment company, Cleveland Avenue.

The exact amount of the deal was not disclosed immediately.

Shinsegae Food established Better Foods in the US in 2022 in a bid to strengthen its global competitiveness in plant-based products, one of the retail giant's growth drivers.

Cleveland Avenue is a venture capital firm established in 2015 by Don Thompson, the former president and CEO of McDonald's. The Chicago-based firm's prime interests include lifestyle and consumer brands and related technologies.

Better Foods said that Cleveland Avenue highly evaluated its research and development capacity for plant-based products, including milk, cheese and meat substitutes.

Upon agreement, Cleveland Avenue will also actively cooperate with Better Foods for its global market entry as a strategic investor.

Better Foods said the cooperation will allow the company to develop its plant-based products, conduct consumer marketing campaigns and expand its business in the US.

“This investment holds great significance as it indicates that Better Foods has won recognition for its growth potential in the US, the largest market for plant-based products,” said an official from Shinsegae Food.

"We will foster Better Foods as a world-leading company that specializes in plant-based products through research and development on a variety of plant-based products."

By Hwang Joo-young (flylikekite@heraldcorp.com)