A 20-year-old fitness enthusiast with a sensitivity to dairy has caught the eye, and cash, of General Mills for his plant-based, non-GMO protein bar marketed to athletes.
301 Inc., the investment arm of General Mills, and 2x Consumer Products Growth Partners (2x Partners) announced Tuesday a "significant" investment in D's Naturals, a Denver-based performance bar and nut butter company.
Daniel Katz started D's Naturals two years ago and has grown the company to nearly $10 million in revenue and wide distribution. He's now looking to some bigger players in the food business to help scale up his business.
Terms of the investment were not disclosed.
Golden Valley-based General Mills relies on 301 Inc. to sniff out food start-ups that are looking for expertise, money or both. General Mills — facing unrelenting challenges to its business with the stagnant sales numbers to prove it — hopes some of these investments will result in acquisitions earlier in the brand's life, before they become to expensive for General Mills to buy and still turn a quick profit.
"It's obviously our aspiration that we can be that indispensable partner," said John Haugen, vice president and general manager of 301 Inc. "And, hopefully, to have the opportunity to see some of these partners become a part of the General Mills portfolio."
For now, 301 — and its investment partner 2x — will focus on helping Katz grow and improve his business.
D's Naturals products hit several food trend high points: low in sugar, dense in protein, plant-based, non-GMO, soy-free, gluten-free, dairy-free and vegan.