Halifax-based Freshr Sustainable Technologies, which makes all-natural food packaging, announced Tuesday that it has closed a seed round, with which it hopes to expand manufacturing and sales.

The company said in a press release that returning investor Invest Nova Scotia led the round, and was joined by: Diamond Edge Ventures, an investment arm of Mitsubishi Chemical Group of Japan; Nàdarra Ventures, the VC fund set up by Natural Products Canada; BDC Capital’s Climate Tech Fund; and Blue Tide Capital Ventures of Baltimore.

Freshr, which changed its name from Impactful Health R&D in 2023, has developed packaging that extends the shelf-life of such proteins as fish and shellfish by inhibiting bacteria that causes food to spoil. The company said its product, which is made from natural materials, offers environmental and economic benefits as global food waste each year costs $2.6 trillion in economic losses and produces 10 percent of greenhouse gas emissions.

“Freshr has developed a novel technology with substantial potential for reducing food waste on a global scale,” said Jen Fuccillo, Investment Principal, Invest Nova Scotia. “By extending the shelf-life of fresh proteins, Freshr’s solution lowers the environmental impact of the food industry, extends freshness to enhance the quality of the food being consumed, and provides suppliers with precious extra time to reach market – all without added ingredients. This is a powerful value proposition.”

The provincial economic development agency had invested in the company twice before, including its participation in a $1.7 million round of dilutive and non-dilutive funding in 2022.

The company did not specify the size of the funding round, though it did say it was oversubscribed and at the “high end” of what’s commonly seen as a seed round. Seed rounds are commonly defined as those worth $500,000 to $5 million, according to some sources. Freshr said the latest round will allow it to ramp up manufacturing, convert existing partnerships into early revenue, expand its presence globally, and strengthen its business and engineering expertise.

The company’s flagship product is called FreshrPack, a proprietary coating made from naturally derived ingredients that inhibits spoilage bacteria and extends freshness. This advanced coating can be applied to various packaging films, including compostable, recycled, and recyclable materials. Designed to integrate seamlessly across the fresh food supply chain, FreshrPack is available in sheet, roll, and bag formats.

“Freshr’s naturally derived active packaging technology significantly extends the shelf life of high-value proteins, ensuring safer, fresher food while reducing waste at every stage of the supply chain,” said Malcolm Fraser, Managing Partner of Nàdarra Ventures. “By solving this issue in a new way, Freshr is not only cutting economic and social losses but also reshaping the future of sustainable food packaging.”

With an overriding goal of using advanced materials to eradicate food waste, Freshr said its vision is to deliver 500 million pounds of fresh proteins wrapped in FreshrPack technology by 2030. The company now employs 11 people full-time and plans to add its 12th employee in about a month, said a spokesperson.

“It is extremely validating that this round was oversubscribed,” said Freshr Founder and CEO Mina Mekhail in the statement. “We recognize the impact and influence of these investors and acknowledge the immense value in having investors who share our drive for global impact. They are critical to the company's strategic growth.”