Fonterra has today announced a new corporate ventures arm to incubate, scale and invest in ventures in the area of nutrition science with Chief Executive Miles Hurrell saying Fonterra is committed to staying at the forefront of nutrition innovation and creating new value streams for the Co-op.
“When we released our long-term strategy in September 2021, we identified nutrition science solutions as an area with future growth potential. Nutrition science is a segment of the global health and wellness category that goes beyond everyday lifestyle and wellness products. Given our expertise in dairy science, we committed to exploring the potential for Fonterra to play more boldly in this space.
“We have developed a business case and agreed on a way forward, which includes establishing a corporate ventures arm with access to our dairy science and innovation expertise, combined with the agility of a startup. The business will incubate and scale a portfolio of disruptive ventures by developing solutions that combine science, nutrition and technology to make a real impact on human health,” said Hurrell.
The business – provisionally named Nutrition Science Solutions (NSS) – will operate as a standalone business within Fonterra with its own board and CEO. It will target opportunities for value creation by adapting the Co-op’s existing capabilities and assets, alongside new disruptive capabilities, through partnerships and M&A.
NSS will seek out, partner with and invest in global start-ups who will benefit from access to Fonterra’s dairy science expertise and understanding of the global market, while Fonterra will benefit from access to emerging technologies, advancements in science, and novel channels to market.
Added Mr Hurrell: “This is a new way of working for Fonterra, but one in which we see a lot of potential.” For more visit Fonterra.com