Opportunity to invest in Extracta and Medikane

On a global scale, around one-third of the food produced for human consumption is lost or wasted. Just in Australia, it represents a loss of $20 billion, and investors’ interest is shifting towards responsible investments. According to the latest US SIF report, responsible investing strategies increased 42% over the past two years, to $17 trillion in 2020 up from $12 trillion at the start of 2018.
 
One of the very promising food waste management companies that is working towards reducing the negative impact of unutilised waste on the environment is Extractacurrently raising A$1.5M part of KapVista’s Ecosystem. By producing and selling high-value products from agricultural waste, the company takes advantage of the estimated $20 billion lost to the Australian economy each year in food waste. At the end of Sep 2020, Extracta has raised over $175,000 and has commitments for a further $120,000.
 
► This is almost 40% of the first tranche of $750,000.
 
Extracta is making fast progress and will be in operation by March 2021.
 
▌signed production & supply agreement with Tamburlaine, a major Australian wine company, to offer high-quality food ingredients under an organic label – which is of great value to many consumers,
▌finalising a similar deal in Bundaberg where other key waste materials will be sourced.

Non-dilutive Gov funding
Food waste is a government priority, and Extracta is in line to get a ‘Fight Food Waste’ Cooperative Research Centre Grant – to a value of $500,000.

Low cost supply
Early investors come from wine industry, where waste problem persists – placing Extracta as a cost effective opportunity.

Expertise & Networks
The founding team has extensive experience in the sector and formed global networks of sales agents and distributors to sell the outputs.

Opportunity to support MediKane, on track to become a global leader in food-based health products

The global market for safe, natural non-drug health treatments is growing in both developed and underdeveloped countries. Diabetes was a pandemic before the virus and over 425 million people are directly affected by diabetes. Currently, there isn’t a non-pharmaceutical option to address this issue, opening a market opportunity for one of our clients, MediKane.

MediKane is currently raising A$2.5M to continue developing & distributing its product range of safe and proven natural treatments for diabetes, post-operative treatment, and digestive health, fully made from plant ingredients – recognising the ongoing challenge that diabetes cannot be fully treated or cured with today’s drugs or supplements.
 
Valuation: $15m, Gross margins range between 53%-78%.
 
Projected 12-months revenue $1.5M without investment and >$3.5M following investment – from traditional markets only.
 
▌MediKane’s diabetes product is supported by Australian diabetes educators and has been proven in clinical trials and customer use. 
 
▌The company is about to enter the animal health market using their patented products for diabetes and inflammation – a significant global opportunity expected to increase the demand by 50% or more.
 
▌MediKane will be a $50M company without any additional markets.
 
▌The offer comes from a diverse team of experienced corporate and start-up founders, each with skin in the game and focused on the USA opportunity. 

Michael Goldman, CEO of MediKane USA, an energetic and driven individual, has so far paved the way for a strong sales growth into a hospital group of 62 Chicago hospitals, secured tacit approval for the state of SC to assist MediKane in establishing its base there, including a manufacturing facility, and established a network in TX and IL of engineering capabilities to build a plant.  Michael’s vision is to grow the US business primarily by providing products targeted to US consumers and current health realities and trends. He is confident of strong regular growth and his main concern is MediKane having the production capacity to meet US demand levels.

The two opportunities enjoy a synergistic relationship – MediKane will be Extracta’s first customer, expected to increase the demand by 50% or more – with more details to follow when the deal is signed. With one feeding inputs into another, the two companies portray the innovative business model and vision of the founding teams.
 
If you’d like to chat more about them, our Team will be more than happy to make an introduction – register your interest in this email or reply to me directly.

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