The Millennium FoodTech R&D partnershis has reported a significant milestone for its portfolio company Phytolon Ltd., in which Millennium holds approximately 10.6% of the share capital (fully diluted). Phytolon, developing natural and innovative food colorings, received FDA approval to market its first product portfolio, Beetroot Red, in the U.S. market.
The FDA announcement is generating significant interest in the U.S., as the organization stated that its goal is to gradually remove synthetic colors from the American food system. U.S. Health Secretary Robert F. Kennedy Jr. said: "We are making it easier for companies to move away from petroleum-based synthetic colors and adopt naturally sourced alternatives. This momentum advances our effort to help Americans eat real food and make America healthy again."
Millennium FoodTech’s investment in Phytolon amounted to approximately NIS 2.8 million, and the regulatory approval represents a critical step in transitioning from development to the commercial stage in one of the largest and most significant markets in the world for natural food color solutions. In recent years, Phytolon has signed strategic collaboration agreements with global food giants such as Rich's, dsm-firmenich, Colorcon, and Grupo Bimbo, enabling accelerated entry into the U.S. market.
The approval will be granted after a 30-day period during which the public can comment on the decision, and assuming no objections are raised, the approval will come into full effect. Phytolon has updated that the company is preparing to supply the product in the U.S. through its production lines with subcontractors in Europe.
According to Oren Attiya, CEO of Millennium FoodTech: "Receiving FDA approval is a turning point for Phytolon and for us as investors. It represents the removal of a major regulatory barrier, allowing the company to enter the U.S. market with an innovative product with clear advantages, and to translate technological development into commercial activity on a significant scale. We see this move as an important growth engine for the coming years."
The approval positions Phytolon strategically in the American food market and marks substantial progress in the company’s growth trajectory – from research and development to the sales stage and entry into international markets.