Roughly 80% of California's water consumption is dedicated to agriculture, and a large portion of that goes to irrigating alfalfa to feed cows.
The people behind Fyto Inc. believe there's a more water-conscious and environmentally friendly way to grow feed for livestock. The Petaluma startup has developed an automated system for growing aquatic plants in greenhouses that can be turned into a nutrient dense animal feed. According to the company, the process requires less water and results in fewer greenhouse gas emissions than traditional alfalfa-based hay — important considerations as California faces drought and the world is trying to head off climate change.
"The global food system is facing enormous challenges, and Fyto's automation technology holds the promise to create a more sustainable solution for farmers," Andy Wheeler, a general partner at venture capital outfit GV, said in a news release.
Fyto has some new funds to develop its technology and bring it up to commercial scale. The company last week announced it raised $25 million in a Series A round led by GV, the early-stage investing arm of Alphabet Inc.
For now, Fyto — named after "fito," the Greek word for "plant" — is focused on producing feed for dairy cows. The company eventually plans to develop feed for other types of animals as well.
Here's more on Fyto's new round and other Series A funding news from this past week.
Epicrispr Biotechnologies Inc. (dba Epic Bio), South San Francisco, $55 million: Horizons Ventures invested in this developer of treatments for muscular dystrophy and other diseases that's led by Crispr co-inventor Stanley Qi.
Fortcar MX (dba Deuna), Palo Alto and San Pedro Garza García, Mexico, $30 million: Activant Capital led the round for this provider of checkout software for online stores. Valor Capital, Abstract Ventures, Acrew Capital and Upload Ventures also invested.
SuSea Inc. (dba You.com), Palo Alto, $25 million: Radical Ventures led the round for this provider of a search engine that promises not to track users. Time Ventures, Breyer Capital, Norwest Venture Partners and Day One Ventures also invested.
Fyto Inc., Petaluma, $15 million: GV led the round for this developer of animal feed derived from aquatic plants. AgFunder, Refactor Capital, First Star Ventures and Bolt Innovation Group also invested.
Arist Holdings Inc., San Francisco, $12 million: PeakSpan Capital and Rainfall Ventures invested in this provider of online training service for hourly workers and managers.
Provus Inc., Saratoga, $12 million: Norwest Venture Partners led the round for this provider of software that helps professional and consulting services firms estimate the cost of projects and provide price quotes to customers. Accel Partners, Storm Ventures and Firebolt Ventures also invested.
