Novo Holdings portfolio company Kate Farms acquired by Danone

Novo Holdings led Kate Farms' Series C financing in 2022 and supported its continued growth as the company's largest institutional investor

Transaction highlights the Planetary Health investment team's role in backing scalable science-driven solutions that drive systems-level change in the food and nutrition industries

Kate Farms to expand further as it becomes part of Danone's North America Medical Nutrition business

SAN FRANCISCO, July 1, 2025 /PRNewswire/ -- Novo Holdings, a leading life science investor, today announced that its portfolio company Kate Farms has been acquired by Danone, a global leader in food and nutrition. The acquisition represents a significant milestone for Kate Farms, a pioneer in plant-based clinical nutrition, and underscores Novo Holdings' commitment to supporting innovative companies that improve health outcomes and quality of life for people with unmet needs.

Kate Farms is a US-based provider of plant-based, organic nutrition formulas developed to better meet the needs of patients with medical conditions and individuals seeking daily nutritional support. Founded in 2012, what began as a family's determination to help their daughter thrive has grown into a leading provider of clinically supported, allergen-free products trusted by patients, caregivers, and clinicians nationwide. Its formulas are available in more than 1,400 hospitals across the country, providing a high-quality alternative for families and patients who have previously had limited or ineffective nutrition options. Today, Kate Farms is the #1 Doctor Recommended Plant-Based Brand.

Novo Holdings was among the largest institutional investors in Kate Farms, having led the company's $75 million Series C financing in September 2022. Since then, Novo Holdings has supported the company's clinical research, product innovation, and efforts to expand access to medically tailored nutrition.

Kartik Dharmadhikari, Partner of Novo Holdings, said: "Kate Farms has emerged as a category leader in specialized medical nutrition by pairing scientific and clinical innovation with a deep understanding of patients' needs — particularly for those who cannot rely on standard diets. Novo Holdings is proud to have supported the company's growth from its early stages to this landmark transaction. This partnership is a powerful example of how our Planetary Health team's investment strategy drives market leadership and enables better health outcomes through scalable, science-driven solutions."

Brett Matthews, Danone North America Medical Nutrition Chairman and Chief Executive Officer said: "Becoming part of Danone – an organization that shares our mission to improve lives through nutrition – is a really proud moment for Kate Farms and will make a positive difference to the people, families and communities we serve. Together, we are in a better position to provide high-quality nutrition to those with a wide range of health needs. We are deeply appreciative of the support that investors Novo Holdings, Goldman Sachs, Kaiser Ventures, Main Street Advisors, Aliment, Coeffecient, Ithaka and individual investors have provided to Kate Farms since the early stages of our company's growth. Partners like Novo Holdings have enabled us to accelerate our business' trajectory, ultimately resulting in this exciting new chapter with Danone."

As part of the transaction, Kate Farms will continue to operate as part of Danone's North America Medical Nutrition business. Effective immediately, Brett Matthews, who has served as Chairman and Chief Executive Officer of Kate Farms since 2015, will lead a team of great people with both heart and expertise in the combined business as Chairman and Chief Executive Officer of Danone's North America Medical Nutrition business.

About Kate Farms

Kate Farms was founded when a little girl named Kate was failing to thrive because she couldn't tolerate any of the available tube feeding formulas. Her determined parents, Richard and Michelle, had the transformative idea to develop a formula using high-quality, organic, and plant-based ingredients without the common allergens and ingredients often found in traditional formulas. Today, Kate is thriving, and Kate Farms is now the #1 Doctor Recommended Plant-Based Brand.*

Kate Farms offers products for children and adults to be used as sole-source or supplemental nutrition for oral and tube feeding. They are available nationally and eligible for insurance coverage with Medicare, Medicaid, 31+ states for WIC† and private insurance. Kate Farms formulas are made with organic pea protein, fiber, and phytonutrients, and made without the top nine common allergens or artificial colors or flavors. Kate Farms can be accessed in more than 1,400 US hospitals. For more information on our full product portfolio, visit www.katefarms.com.

*Independent plant-based formula survey.

†WIC is a registered service mark of the U.S. Department of Agriculture for USDA's Special Supplemental Nutrition Program for Women, Infants, and Children.

About Novo Holdings A/S

Novo Holdings is a holding and investment company that is responsible for managing the assets and the wealth of the Novo Nordisk Foundation. The purpose of Novo Holdings is to improve people's health and the sustainability of society and the planet by generating attractive long-term returns on the assets of the Novo Nordisk Foundation.  Wholly owned by the Novo Nordisk Foundation, Novo Holdings is the controlling shareholder of Novo Nordisk A/S and Novonesis A/S (Novozymes A/S) and manages an investment portfolio with a long-term return perspective. In addition to managing a broad portfolio of equities, bonds, real estate, infrastructure and private equity assets, Novo Holdings is a world-leading life sciences investor. Through its Seed, Venture, Growth, Asia, Planetary Health and Principal Investments teams, Novo Holdings invests in life science companies at all stages of development.  As of year-end 2024, Novo Holdings had total assets of EUR 142 billion.  www.novoholdings.dk

About the Novo Nordisk Foundation

Established in Denmark in 1924, the Novo Nordisk Foundation is an enterprise foundation with philanthropic objectives. The vision of the Foundation is to improve people's health and the sustainability of society and the planet. The Foundation's mission is to progress research and innovation in the prevention and treatment of cardiometabolic and infectious diseases as well as to advance knowledge and solutions to support a green transformation of society.