Meat the Mushroom Secures $150,000 Investment from Shark Tank for Mushroom-Based Vegan Bacon - vegconomist - the vegan business magazine (2024)

Baltimore-based startup Meat the Mushroom has secured a $150,000 investment from “Shark Tank” investors Kevin O’Leary and Lori Greiner. This deal, struck on the popular ABC show on Friday, gives the investors a 33.3% stake in the company, known for its clean-label vegan bacon alternative, Shroomacon.

Founded in May 2021 by Marvin Montague Jr. and his wife Aleah Rae, Meat the Mushroom reflects Montague Jr.’s personal health journey. Transitioning to a vegan diet, he credits his diet change with overcoming an early diagnosis of heart disease and chronic asthma, according to a statement on the company’s website. This paved the way for Shroomacon, a simple product made from five ingredients: king oyster mushrooms, olive oil, natural smoke flavor, salt, and black pepper. Unlike many meat alternatives, Shroomacon is made from long strips of mushroom rather than processed and molded ingredients.

Despite initial skepticism from the Shark Tank panel regarding the business’s future and its initial equity offer, two celebrity investors were won over Shroomacon, deciding to invest in the company. Following the show, co-founder Aleah Rae revealed to Technical.ly that the company had doubled its team size and ramped up production in anticipation of increased demand.

Vegan bacon market

Meat the Mushroom was also featured on Baltimore’s ABC Channel 2 WMAR News and showcased at the Winter Fancy Food Show in Las Vegas last week. However, the market for vegan bacon is competitive, expected to grow at a CAGR of 6.6% between 2022 and 2032, with key players including Vegetarian Butcher, Lightlife, and MyForest Foods. Umaro Foods, is another top competitor, with the company also being featured on Shark Tank in 2022 and securing a $1 million deal from Mark Cuban for its red algae-based bacon.

Shroomacon is currently available at select markets across the United States, including Central Markets in Texas, Green Life Markets in New Jersey, and MOM’s Organic Markets in Pennsylvania, Maryland, and Virginia. Consumers can also purchase it directly from the company’s website, where a two-pack is priced at $26.