Alexander’s basement project about to become a mega business: will make larvae part of your diet

Why larvae?

"We want to operate in an area where good business and circular economy tie in with something natural. And here insects are bang on. Larvae can be used for food, feed and fertiliser," says Alexander Solstad Ringheim, one of the founders and day-to-day manager of Invertapro.

He continues:

"When it comes to CO2 emissions as well as feed, area and water requirements, insects are in a class of their own. This is quite simply a quantum leap compared to traditional ways of producing protein sources."

"Groundbreaking"

The founders of Invertapro have been working with larvae since 2016 when they started with 5,000 specimens in a basement in Voss.

It didn’t take Nordea long to discover the company – admittedly via BIR, Bergen’s intermunicipal waste management company.

BIR is a large customer of Nordea and has in recent years become involved as an owner in start-ups turning waste into resources.

See also: Tech used to solve waste problem

– Early on we were impressed by the Invertapro team and believed that their work within protein production was groundbreaking, says Henrik Dønnum Roe, adviser at Nordea.

Together with Hans Tysnes, he is the relationship manager of Invertapro at the Bergen branch office. They help with advice and financing.

– Invertapro is part of the solution for more sustainable protein production. This market is already large and will grow dramatically over the next five to ten years, says Henrik Dønnum Roe, adviser at Nordea.

70 tonnes of larvae per week

However, larva production is not initially intended for human consumption. The potential within the feed industry, including fish, chickens and pets, is huge.

According to a SINTEF report from 2017, the emission from 1 kilo of farmed salmon fillet is around 7.0 of CO2 equivalents. The figure is five times higher for cattle.

"Compared to beef, the larva only needs 8 per cent of the feed, 21 per cent of the water and 5 per cent of the area. And the larva only results in 16 per cent of the CO2 emissions per kilo of protein," says Alexander Solstad Ringheim.

According to a news story broadcast by Norwegian television, NRK, on 2 April, the degree of self-sufficiency in Norway is among the lowest in the world. However, the story also draws attention to a resource along the coastline that can feed the population for a long time: salmon.

So Invertapro is focusing on the aquaculture industry, which currently gets large amounts of its feed from abroad. This way the Voss founders can contribute to increasing food security for Norway.

"We are not talking thousands of tonnes but about a market in need of hundred thousands of tonnes of proteins," says Alexander Solstad Ringheim.

"In 2023 we plan to produce 10 tonnes of larvae per week and before 2025 the figure will be 70 tonnes per week. The market is still far from being saturated," he says.

Turned professional with the help of Nordea

Invertapro is set to scale up its facilities – something that will happen, but it will take time to reach the full potential. Nordea will continue to help them on this journey as has been the case since 2018.

"Nordea has helped with financing in a demanding and important phase and has been massively instrumental in developing our professional approach to investors. This means that we have been able to raise the amount of capital that we have," says CFO Trude Andersen.

"They are always available by phone, help with resources, give advice and contribute to our business development. Nordea is quite simply a very good partner," she adds.

That’s music to Nordea adviser Henrik Dønnum Roe’s ear.

"Here in the western part of Norway we do our best to capture the good initiatives hatched along the coastline, and our ambitions to support the green transition are big," he says and continues:

"With major regional branch offices and the benefit of Nordea’s capital and strong competence environment and network, we are quite unique."

Praising Invertapro and today’s start-ups

Among Nordea’s in-house resources are Joakim Bredahl, who is part of Nordea Startup & Growth.

"Environmental, social and corporate governance issues (ESG) are something we always take into account when assessing companies we lend money to. What’s slightly unique about start-ups is that this is often the first item in their presentations to us. This was also the case with Invertapro, which has a very green profile," says Bredahl and adds:

"For instance, we give advice on how to raise investor capital, how to set up a business model and when the time is right to look at loan options. And we also help with financing when we think it’s the right thing to do."

How do larvae taste?

The Invertapro founders feel confident about the future and also produce larva products for humans. They are aware that it will take time to get used to the idea but want to change people’s habits by increasing their knowledge over time.  

"Larvae can be eaten as snacks but we also pulverise them. This way they can be used in largely all products as a pure source of protein. Moreover, we are in full control of the entire process," says CFO Trude Andersen.

Day-to-day manager Alexander Solstad Ringheim adds:

"What we’re doing is sustainable, traceable and local. We believe people appreciate that."

What does a larva really taste like?

"It tastes of almost nothing, maybe a bit nutty, but completely neutral in taste. That’s why it can be used for so many things," says Trude Andersen.

Produced in cooperation with Schibsted Partnerstudio