Mushroom protein pioneer, Ramkumar Nair, to launch a fresh venture

This summer, the Swedish mushroom protein company, Mycorena, faced bankruptcy after failing to secure additional financing. The company, which had once been valued at SEK1.3 billion, sold its assets for just SEK6.8 million to a Belgian food conglomerate. Following the sale, operations shifted out of Sweden, and it seemed the chapter had closed.

But now, Mycorena’s founder, Ramkumar Nair, has unveiled plans for a new venture, which he has told Impact Loop in an exclusive interview is an evolved version of the original concept. Reflecting on lessons learned, Nair believes this new direction will address challenges that Mycorena faced in its first iteration.

In the article, published in Swedish, Nair acknowledges that Mycorena’s business strategy was a key factor in its downfall. The company had planned to produce mycoprotein—a protein derived from fungi—and sell it as an ingredient to food manufacturers. These companies would then incorporate it into their own products.

“The idea was sound, but the timing was not right for many potential partners,” Nair explained. “Most of them were cautious, saying, ‘It’s not the right moment for us to launch products containing mycoprotein’.”

The new business model will take a different approach, aiming to go directly to consumers under a single brand. The focus will also shift toward the hybrid food segment, combining mycoprotein with meat or plant-based ingredients to create products such as nuggets, ground meat, and meatballs.

“We’re not positioning ourselves as a plant-based or vegan company. We’re simply a protein company,” Nair emphasized.

This pivot will allow greater control over market presence and reduce reliance on other food companies to bring the product to consumers.

Another critical change is a move to a leaner, more resource-efficient operation. Mycorena’s ambitious plans for a production facility required substantial capital, which ultimately proved unsustainable. The new venture will use existing manufacturing infrastructure, avoiding the need for significant upfront investment in production facilities.

“We’re targeting an initial funding requirement of SEK5 to 10 million,” said Nair. “This approach lets us move forward with minimal risk. By leveraging existing facilities and focusing on partnerships, we can keep costs low while still delivering high-quality products.”

The technical expertise gained from Mycorena’s development of mycoprotein will also play a crucial role. The company aims to position itself as a leader in mycoprotein production technology, which will underpin its new product line.

Several of Nair’s former colleagues and investors are joining him in the new venture. This includes advisors such as Christine Bjärkby and Tore Sveälv, who served on Mycorena’s board, and a group of angel investors, some of whom were also involved in the previous company.

“Even though they lost their investment in Mycorena, they share my belief that the journey isn’t over,” added Nair. “They see the potential for success, especially with the direct-to-consumer approach we’re now taking.”

The company is currently finalizing its branding and product development. A name and logo are in progress, and the team expects to launch the brand within a few weeks. Product testing and development will continue through the next year, with plans for a trial launch in select stores by the end of the year.

“We’re starting small and testing carefully to make sure we get it right,” Nair noted.

Despite the challenges faced by Mycorena, Nair remains committed to the potential of fermentation and mycoprotein as a cornerstone of the future food industry.

“I strongly believe that fermentation and mycoprotein will play a key role in addressing the challenges of tomorrow’s food systems,” he said. “While Mycorena didn’t succeed, some factors were beyond my control. This time, I’m bringing the lessons learned to create something stronger and more aligned with market needs.”

With a refined strategy and renewed focus, Nair’s return to the protein market signals a fresh chapter—not only for his entrepreneurial journey but also for the role of mycoprotein in the evolving food landscape.