MicroLub, a Leeds-based deeptech company developing patented protein-based food ingredients, has completed a $10 million Series A funding round led by Northern Gritstone, with participation from existing backer NPIF II – PXN Equity Finance.
The funding will enable MicroLub to expand its team, accelerate expansion into the US and Asian markets, convert ongoing customer trials into commercial agreements, and continue developing its proprietary ingredient technology.
The company’s core innovation allows food manufacturers to reduce fat and calorie content by up to 75% without compromising on taste. This addresses a persistent challenge in the food industry, where products marketed as healthier alternatives often struggle with consumer acceptance due to inferior sensory qualities.
“For too long, consumers have had to choose between food products that taste great, but are unhealthy, and those that are nutritious but compromise on the eating experience,” said David Peters, CEO of MicroLub. “With MicroLub’s technology, that’s no longer the case – they can now literally have their cake and eat it!”
Growing Market Demand
The investment arrives as food manufacturers face mounting pressure from regulators and consumers to develop healthier product formulations. Several European nations have implemented or are considering restrictions on high-fat and high-calorie products, particularly in categories targeting children. Simultaneously, the global functional foods market continues expanding, with consumers increasingly willing to adopt products that deliver nutritional benefits without perceived taste sacrifices.
MicroLub’s technology represents an alternative to traditional fat-reduction approaches, such as using emulsifiers or bulking agents, which often produce suboptimal taste profiles or mouthfeel characteristics.
International Scaling
The company’s focus on US and Asian market expansion reflects broader commercial opportunities beyond Europe. North America and Asia-Pacific regions represent significant markets for food manufacturers seeking innovative ingredient solutions. The funding will support establishing commercial relationships with major food producers in these regions, building on customer trial programmes already underway.
Northern Gritstone’s involvement signals investor confidence in MicroLub’s technical capabilities and commercial potential. The investment demonstrates continued appetite among UK and European deeptech investors for companies addressing real-world challenges in established industries.
Broader Ecosystem Context
The funding outcome underscores the European deeptech sector’s ongoing maturation, particularly in food ingredient technology. While venture capital has historically concentrated on software and digital services, investment in science-based companies tackling industrial challenges has grown substantially in recent years. The UK, supported by initiatives like the Northern Powerhouse Investment Fund and dedicated deeptech investors, has established itself as a notable centre for food-tech innovation alongside more established hubs in Scandinavia and Central Europe. MicroLub’s Series A success reflects this expanding opportunity space and investor confidence in European deeptech founders addressing large, established markets.