WILMINGTON — Inside the Innovation Space’s labs, startup Livestock Labs is literally working to grow animal meat inside vial in hopes of addressing a multi-million dollar industry that’s developing faster than people think.
Founded in San Francisco, Livestock Labs develops genetically engineered cell lines, or groups of cells that come from a single source, like a cow or a pig. Their customers are companies looking to get into the cultivated meat market. Through genetic engineering by CEO and co-founder Steen Ooi, Livestock Labs can essentially grow meat with the designed traits without butchering animals to get it.
They’re in the business of creating building blocks for major food processors looking for a sustainable way to deliver a high-quality meal without using the processes used by factory farms, said co-founder Andrew Sayles.
“There’s top-tier meats out there that you can’t mass produce. Take wagyu – what makes it taste so good is the genetics of the animal and how the animal was treated,” Sayles said. “With cultivated meat, you really get to control the genetics and the environment as best as you possibly get. The industry’s promise is the best-tasting meat at a price that someday will be at McDonald’s levels.”
That day isn’t here yet, but it is coming. Google co-founder Sergey Brin invested thousands in lab-grown meat more than a decade ago, kicking off an estimated $25 billion global industry by 2030. Last July, Mission Barns secured the first U.S. Department of Agriculture approval for the first cultivated pork product so it can be sold in stores.
Livestock Labs has launched at least seven pilot programs with companies, though representatives declined to comment on which companies.
“I think it’s absolutely inevitable,” Sayles said. “The big question is: is it in five to 10 years or 50 years? A lot of that depends on funding from the private sector and the government, as well as conventional needs.”
Sayles describes himself as a true believer in the product. He was fascinated with Brin’s investment and looked for jobs in the cultivated meat sector, only to find the field was inundated by scientists and researcher roles.
“The No. 1 reason, aside from the issues about antibiotic use, is about biodiversity. There’s cases where people are mowing down the Amazon rainforest so we can grow enough soy to feed a cow to get a cheap burger,” Sayles said. “When it comes to technology, it’s amazing what we’ve accomplished. But when it comes to technology, it’s amazing what we’ve accomplished.”
Fast forward to 2021 when venture capital firms were heavily investing in the field, he became Mission Barn’s first hires and handled a breadth of responsibilities like managing the supply chain to flying out with the chef to hold product tastings. He connected with Ooi, who was the lead engineer at New Age Eats, to start their own company.
Behind the scenes, Livestock Labs takes a tiny tissue sample from animal and locks in genetic traits needed to grow meat in cultivators, or tanks designed to nurture cell growth. This eliminates the need to go back to the animal entirely.
The startup is focusing on the B2B market, selling livestock cells for companies that need starter material for food or animal products. That means Livestock Labs avoids spending millions on convincing consumers to eat cultivated meat and is working to address those major companies looking to invest in it.
“We’re offering for our customers to do their R&D faster, cheaper and work with superior sells,” Sayles said.
Although fundraising for cultivated meat slowing down, Livestock Labs still raised $750,000 in private capital. It also received $200,000 in grants like Delaware’s EDGE program and the Innovation Space’s Early-Stage Growth Grant. The pre-revenue startup also moved to the First State due to the labs available at The Innovation Space, but also the talent pool in the state.
Sayles said the company is considering setting up a satellite office in the United Kingdom to take advantage of some programs, but the plan is continue to invest in Delaware.
“We’re going to try to invest as much back as we can. Like every company, you’re only as good as your palate and the people working for you. We have a great team here,” he said.
