S2G Ventures, Food Systems for the Future and other partners today launched the Food, Nutrition and Health Investor Coalition (FNHIC), a call to action to drive $2.5 billion in private investment over the next three years to improve hunger and health outcomes through food. The announcement was made at the White House Conference on Hunger, Nutrition, and Health, a catalytic event for the investment ecosystem and public-private exchange at the intersections of food, hunger and health.
The FNHIC includes agtech, food tech, nutrition, healthcare, biotech, pharma, and generalist firms, as well as innovators and executives supporting the development of innovative new technologies that will increase access to high-quality, affordable, nutritious foods and deliver positive health outcomes.
More than 20 investor partners have joined FNHIC's call to action to cumulatively invest an additional $2.5 billion into this space over the next three years, with potential to grow via inclusion of other capital providers in the future. Founding FNHIC participants include S2G Ventures and Food Systems for the Future, as well as ACON Investments, Astanor Ventures, Beyond Impact Advisors, Bluestein Ventures, Boardwalk Collective, Cleveland Avenue, iSelect Fund, KdT Ventures, Khosla Ventures, L Catterton, Leaps by Bayer, Mayfield Fund, Middleland Capital, PowerPlant Partners, Rethink Food, Rich Products Ventures, Supply Change Capital, Synthesis Capital and Tyson Ventures.
"Poor nutrition accounts for more than $50 billion in U.S. health care costs each year1. There is tremendous opportunity for the food system to help drive down costs, improve patient lives, and complement existing healthcare systems – essentially forming a bridge between disease care and health care," said Sanjeev Krishnan, S2G Ventures Managing Director and Chief Investment Officer. "If we are going to successfully and expeditiously close the large gap between nutrition and healthcare, however, we must have as many stakeholders at the table as possible, which is why we are so excited to join Food Systems for the Future and other founding partners to launch the Food, Nutrition, and Health Investor Coalition."
"With over 34 million Americans experiencing food insecurity2 and 117 million suffering from diet related disease3, the U.S. is confronting a ballooning hunger and nutrition crisis. The good news is we know what it takes to successfully respond: multisector financial investments in scalable food and agtech businesses to create a sustainable; equitable food system that improves people's health outcomes; respects the planet; and ensures geography and income are never barriers to nutritious, affordable food," said Ertharin Cousin, Food Systems for the Future Founder. "Along with S2G and the other Food, Nutrition, and Health Investor Coalition founding partners, I am thrilled to see the bold capital investments either already made or planned. Our partners recognize it is possible to deliver market rate financial return and make a sustainable nutrition impact and we hope this catalyzes more corporations, asset managers, and asset owners to join this effort. I look forward to expanding our coalition of private-sector stakeholders committed to ending hunger, malnutrition and reducing diet-related diseases both here at home and abroad."
Food insecure individuals are at higher risk of developing chronic diseases like heart disease and diabetes. At the same time, global developments including the COVID-19 pandemic and Russia's invasion of Ukraine have disproportionately impacted the food insecure. Supply shocks have driven food prices higher. The pandemic has reinforced the linkage between nutrition and health, with high comorbidity rates between COVID and obesity, hypertension, and cardiovascular disease.
To address these developments, FNHIC believes we must embrace innovation that puts deflationary pressure on food prices to address hunger and targets nutrition needs for high-risk individuals. FNHIC seeks to highlight and financially support the incredible amount of emerging technological innovation underway that leverages the power of affordable and nutritious food to remediate hunger and improve human health.
"Khosla Ventures has been focused on investing in technology companies that work on food to drive healthy outcomes for people and a more sustainable world," said Vinod Khosla, founder of Khosla Ventures. "Today's news underscores the importance of food and nutrition and we look forward to working with the Food, Nutrition and Health Investor Coalition to advance our collective efforts."
FNHIC's call to action is the start of a long-term, high-potential journey to realize the benefits of greater exchange between food, hunger and health innovation in the public and private sectors.
More information about FNHIC can be found on the Food, Nutrition and Health Coalition website.