Millow: Pioneering Minimalist Meat Alternatives from Sweden

Millow, a pioneering Swedish startup, is making waves in the food industry by producing minimally processed meat substitutes using oats and mycelium. The company recently inaugurated its first large-scale factory in a former LEGO production facility, located about 30 minutes from Gothenburg.

Distribution Plans and Product Launches

As Millow prepares for its market rollout, it is finalizing distribution agreements with food brands, retailers, and foodservice distributors. Chairman Dr. Staffan Hillberg shared that the aim is to introduce multiple products by the end of 2025.

“Our intent is to have three proprietary production units (S-units) operational by 2026, allowing us to produce around 450 tons per year. While critics argue that plant-based meats fall short in terms of taste and transparency, our factory demonstrates that we can address both challenges at an industrial scale.”

Dr. Hillberg noted the global interest in Millow’s products, but emphasized that their initial focus will be on the Swedish and Nordic markets. The plan is to begin distribution with a major foodservice distributor, gradually expanding into the retail market as production increases.

Product Portfolio

Millow is actively working on a variety of products. Some companies plan to use Millow’s mince as an ingredient in hybrid products, while Millow also aims to produce complete food offerings. Current items in their portfolio include minced meat, chicken-like bites, döner kebabs, dairy alternatives like paneer, and traditional Swedish meatballs.

Funding and Expansion

The startup recently secured a €2.4 million ($2.6 million) grant from the European Innovation Council (EIC) Accelerator, along with up to €15 million ($16.3 million) in equity funding under the EIC Fund’s blended finance scheme.

“With our secured funding, we’re positioned to reach a cash flow positive operation through our proprietary AI-based production technology. For future large-scale expansion, we anticipate a combination of debt and equity financing, for which we are in discussions with tier-1 investors,” explained Dr. Hillberg.

Branding Strategy: ‘Made with Millow’

Millow is also focusing on strategic co-branding opportunities that feature its trademark, aligning with a clean-label strategy to meet increasing consumer demand for transparent food options. Hillberg elaborated on this initiative:

“Our branding strategy, led by Rob Janoff, revolves around the ‘Made with Millow’ concept. We are committed to equipping our B2B clients with the necessary resources to effectively communicate Millow’s unique value to consumers.”

Innovative Production Process

The technology behind Millow draws on the expertise of mycelium authority Mohammad Taherzadeh, a professor of bioprocess technology at the University of Borås. The innovations include a process that combines mycelium with a plant-based substrate like oats through a unique ‘dry fermentation’ technique, producing hybrid products with a 50-50 ratio of fungi and plants.

During a fermentation period of 12-16 hours, mycelium modifies the texture and nutritional profile of the oats. This efficient production system eliminates the need for costly downstream processing, ultimately yielding a product rich in protein, fiber, vitamins, and minerals.

The ‘S-Unit’ Technology

The proprietary S-unit technology plays a critical role in Millow’s production. This automated system not only reduces energy and water usage but also allows for precise control of the fermentation environment. CEO Esmaeil Taherzadeh emphasized:

“Our fermentation process is a blend of solid and submerged methods, making it faster and more efficient compared to traditional approaches. Each S-unit uses only one-third of the energy associated with wet fermentation and a mere 2.3% of the water.”

Quality and Consumption Experience

Millow’s products are engineered to offer a meaty taste and texture that hold up well in various cooking applications. Unlike tempeh, which is made through solid-state fermentation, Millow products are designed to maintain their integrity when cooked without disintegrating in sauces.

Every 100g serving reportedly provides up to 27g of complete protein, along with fiber, vitamins, and minerals, all while remaining low in calories.

This combination of innovation and attention to consumer needs places Millow at the forefront of the growing market for meat alternatives, catering to both sustainability and health-conscious consumers.