Plant-based seafood manufacturer New Wave Foods, which attracted funding from poultry giant Tyson Foods and others, is no more.
According to trade publication Alt Meat, San Francisco-based New Wave closed its doors in November and is now in assignment for the benefit of the creditors (ABC), an alternative to formal bankruptcy proceedings that transfers a distressed company’s assets from the debtor to a trust for liquidation and distribution.
According to the document, New Wave Foods, which produced plant-based shrimp for the foodservice sector, is “indebted to various creditors and unable to pay its debts in full."
The company has therefore decided to discontinue its business and said it believes transferring its property to an assignee is in the best interests of its creditors and stockholders.
New Wave Foods, backed in part by the venture arm of $53 billion (€49 billion) poultry giant Tyson Foods, signed a distribution agreement with Dot Foods in March 2021 to launch its plant-based shrimp in North American restaurants and foodservice outlets.
The company raised $18 million (€16.7 million) in a series A round in January 2021.
Co-founder and CEO Michelle Wolf told AgFunderNews that "although we were gaining momentum in 2023 and had secured a major customer for 2024 sales, we couldn’t outrun industry headwinds.
“Our focus had been on healthy business fundamentals since I became CEO in late 2021, and I’m proud of what we achieved. I continue to have faith in the industry’s long-term success but the environment we’re in will continue to push companies to prioritize like we did and explore innovation horizons.”