The £1m investment includes participation from existing investors and will be used to drive the brand’s next phase of growth as it aims to hit a retail sales value of £25m by 2020.
“This is our most significant fundraise, one we believe will not only accelerate our ascent in the nut butter category but take us closer to our goal of becoming one of the nation’s favorite healthy food brands,” said Pippa Murray, founder of Pip & Nut.
The UK brand – available in over 5,500 stores across the UK and Europe – comprises a portfolio of eight nut butters, available in jars and squeeze packs, and three almond milks. All the products are 100% natural, with no refined sugars, additives or palm oil.
Last year, the brand grew 35% year on year, making it the fastest growing nut butter brand in the UK.
“We’ve had a phenomenal start to [this] year and are thrilled that key retail partners are continuing to recognise both our performance and potential, significantly increasing our fixture space, along with launching new lines,” added Murray.
The brand is on track to achieve a 71% YOY growth, boosted by securing an additional presence in two UK major supermarkets, Tesco and Sainsbury’s.
Tesco – which has stocked the squeeze packs since August 2017 – will now stock four of the nut butters in jars including Smooth Peanut, Crunchy Maple Peanut, Coconut Almond and the Honey Almond variant as an exclusive.
The extended range was rolled out across 800 stores nationwide at the beginning of May.
Sainsbury’s is also extending its Pip & Nut portfolio and is increasing its distribution of the jar range (Crunchy Peanut, Crunchy Almond and a soon to launch Limited Edition) with the addition of 225 new stores.
The supermarket, which had an 18-month initial exclusivity with Pip & Nut when it was launched in January 2015, now has 5,500 stocking points – a five-fold increase in two years.
“This investment marks a significant step change for Pip & Nut where they look to carve deeper inroads in the UK and start to expand the brand overseas,” said Giles Brook, partner in Bear and CEO of Vita Coco EMEA, who joined the brand in an advisory capacity in November 2014 and has since become the start-up’s lead investor.
“I’m really excited about this next chapter and believe Pip & Nut is set to become a landmark food and drink brand in the coming years.”