Meeting the Need for Better-tasting and More Sustainable Chicken: Why we Invested in Cooks Venture

It is great to see the increased consumer and investor attention on alternative proteins, primarily driven by increasing demand for protein that is healthy, environmentally sustainable and addresses animal welfare concerns. However, animal protein still has a significant role to play in addressing these consumer demands, especially given the size of animal protein markets and the fact that they continue to grow. Notably, poultry has been the fastest growing meat category in the US and globally, which is expected to continue through to 2027.

Cultivian Sandbox sees opportunities for technology to improve the way we produce protein across both animal agriculture and alternative proteins. With respect to animal agriculture, Agrivida has developed a plant-expressed enzyme to improve broiler chickens’ nutrient uptake and AAD develops rapid on-farm diagnostic test tools for the early detection of disease in dairy cows and beef cattle. With respect to alternative protein, Geltor is producing animal-free proteins via microbial fermentation. We are also investing in alternative business models that can support the development of new protein products such as Culture Biosciences, which offers biomanufacturing-as-a-service to synthetic biology companies.

Our most recent investment in Cooks Venture (“Cooks”) provides an opportunity to support the growth of an area within animal agriculture that has seen limited technological advancement until now — pasture-raised chicken. This segment of the market has been overlooked to-date, particularly with respect to genetics. Over 90% of chicken consumed is either the Cobb 500 (Tyson) or Ross 308 (Aviagen), which are both Cornish lines bred almost exclusively for rapid weight gain (an average chicken weighs 6lb today vs 2.5lb in the 1920s). While this has had a significant impact on the efficiency of chicken production via improved feed conversion ratios, other aspects of the bird’s taste and health have been ignored.

Following a decade of breeding, Cooks has developed a proprietary breed of slow-growing, heirloom chicken that takes into account the health of the animal and the environment. It has also established itself as the only vertically integrated chicken producer in the country with its own genetics operation.

Central to our investment thesis is that these proprietary genetics allow Cooks to deliver on what an increasing number of consumers have been asking for in their chicken. This is true on a range of factors:

• Better taste — conventional chicken breeding to optimize rapid weight gain has led to chicken with large, dry breasts and little flavor (typically referred to as woody breast syndrome). Cooks’ slow-growth bird provides an improved texture compared to conventional chickens.
• Antibiotic free — breeding to-date has deprioritized the health of the bird, requiring them to consume antibiotics. Cooks can make “no antibiotics ever” claims, which are critical to consumers, even more so than organic claims (according to IRI, 35% of US consumers say that free of antibiotics is important when fresh food shopping vs only 20% say organic is important).
• Improved animal welfare — according to IRI, 3 in 10 shoppers look for “better for the animal” claims, and Cooks delivers this through its GAP4 and Certified Humane certifications.
• Environmentally friendly — according to IRI, 28% of US consumers care about environmental sustainability when fresh food shopping, and since Cooks’ chickens are bred to consume a wider variety of feed, these crops can be grown while improving soil health, thereby contributing to regenerative agriculture.

So, Cooks is an example of an investment where consumers’ needs downstream in the value chain are being met through innovation upstream. We believe this (often ignored) link between upstream innovation and consumer demand will be critical to the future of protein production, and we will continue to invest in companies that enable this connection.

We are excited to back CEO and co-founder Matt Wadiak and his superstar team of experienced food professionals. They’re using innovation to give consumers tastier, healthier, more ethical food, and we love that!

To learn more about Cooks Venture, read the official press release on the fundraise.