The hemp start-up Becanex has received a second important project funding within two months: Investitionsbank Berlin (IBB) is supporting the company with project funding of €765,000 as part of its Pro FIT program. The company had previously received funding from the German Federal Ministry of Economics. The money will be used to research expanded applications of its patented one-step extraction technology.
"The goal is to develop cannabinoid-free terpene blends (flavorings) for addition to food, beverages and cosmetics. Currently, there are no marketable terpene blends from industrial hemp. The hemp flavor is mainly recreated from fruit flavors. Becanex now wants to close this gap," the company says.
With the product development, Becanex will further expand its position as a supplier of hemp extracts and terpenes. "Hemp extracts with CBD are already a billion-dollar market in the USA, while in Europe corresponding products are still limited by the lack of novel food approvals in the food sector. Terpenes, on the other hand, are freely marketable. With the new product, Becanex enables food companies to enter the booming hemp market."
The clear focus on the technological advancement of extraction as well as innovative application forms of extracts containing cannabinoids and terpenes is Becanex's unique selling point in the still young European cannabis industry. "We are very pleased about the project funding from the Investitionsbank. Since our foundation, the state of Berlin has supported us in expanding our technological lead and developing from a start-up into a growing medium-sized company," explains Sebastian Kamphorst, founder and CEO of Becanex. "The Pro FIT funding that has now been approved is a milestone with enormous growth potential for our company. The products are attracting great interest in the industry."
The total volume of the research program is around one million euros. Of this, approx. 235,000 euros will be funded by a grant from IBB, and the bank will grant a loan for a further 530,000 euros. Becanex is contributing the remaining amount as equity.
From the Program for the Promotion of Research, Innovation and Technology (Pro FIT), IBB provides grants and loans for technological innovation projects. The program is financed by the state of Berlin and the European Regional Development Fund (ERDF).
"The project presented by Becanex GmbH combines the cornerstones of our Pro FIT program: technological research with the goal of developing marketable products, so it fits perfectly into our funding portfolio," said Jörg Neuhaus of Investitionsbank.
The funding was arranged by Berlin Partner für Wirtschaft und Technologie GmbH. Here, too, they welcome IBB's commitment. "We are pleased about the funding for our Berlin Partner company Becanex GmbH," said Innomanager Volker Erb at Berlin Partner. "We see the cannabis market with its many possible applications as an industry of the future. Berlin Partner promotes the establishment and development of companies from this sector through various formats, thus profiling Berlin as one of the most important European locations in this fast-growing field. Becanex is one of the companies that can offer innovative product ideas to companies close to the market through intensive research. In this context, we are particularly pleased that production is taking place in Berlin."