Prefer Launches Soluble Coffee and Cocoa Powders, Raises Oversubscribed US$4.2 Million Pre-A Round to Accelerate International Expansion
Singapore-based food technology startup Prefer has announced the successful close of an oversubscribed US$4.2 million Pre-Series A funding round, alongside the commercial launch of two new products — soluble coffee and cocoa powders. These developments mark a significant step forward in the company’s mission to transform the global coffee and cocoa markets through sustainable, cost-effective, and scalable alternatives.
The funding round was led by At One Ventures and Chancery Hill Capital, with participation from existing investor Forge Ventures. This latest raise brings Prefer’s total equity funding to US$6.2 million.
Turning Byproducts into Premium Flavours
Founded on the principles of sustainability and innovation, Prefer uses food manufacturing byproducts — such as rice and soy — to create high-quality flavours through a proprietary fermentation and roasting process. The result is a range of ingredients that closely replicate the taste, aroma, and functionality of conventional coffee and cocoa, while offering substantial environmental and economic benefits.
The company supplies its products to a diverse customer base, including FMCG brands, food manufacturers, private label retailers, and flavour houses. Its goal is to enable partners to reduce costs, improve supply chain resilience, and meet sustainability goals without compromising on taste.
According to a life cycle analysis conducted by Prefer, its coffee products generate up to 85% lower carbon emissions compared to traditional Arabica coffee, while being 50% more affordable than current market prices.
First Commercial Partnerships in Asia-Pacific
Alongside the funding news, Prefer revealed its first international commercial partnerships aimed at accelerating market penetration.
- In Thailand, Prefer has partnered with Ajinomoto Co., (Thailand) Ltd., a subsidiary of the global food and biotechnology group, to co-develop sustainable coffee beverage innovations that align with Ajinomoto’s “Eat Well, Live Well” lifestyle philosophy.
- In Australia and New Zealand, the company has teamed up with The Coffee Ferm, which will license Prefer’s flavour intellectual property (IP) to manufacture and distribute products locally, enabling rapid scaling in these markets.
These collaborations follow Prefer’s earlier success in Singapore, where it commercialised its coffee products through foodservice channels, working with local food business Melvados to introduce its sustainable coffee flavours to consumers.
Scaling Up Production and Expanding R&D
With the new funding, Prefer plans to scale its pilot production facility by working with toll manufacturers in key international markets. This approach will help the company meet growing demand while keeping capital expenditure low.
The startup also intends to deepen its research and development efforts in cocoa flavour production, aiming to replicate the same cost and environmental advantages achieved in its coffee products. The long-term strategy focuses on expanding partnerships across Asia and beyond, as the company sees substantial potential in markets where coffee and cocoa imports are heavily reliant on volatile global supply chains.
A Step Toward a More Sustainable Food System
Prefer’s Co-Founder and CEO Jake Berber highlighted the importance of this milestone for the company and the broader industry.
“With the support of our new partners, the quality of our new products, and the grit of this team, we’re in a unique position to ensure coffee and cocoa are accessible to the masses while respecting our planet,” Berber said.
The company is actively inviting coffee and cocoa businesses worldwide to sample its ingredients via its website, presenting them with a commercially proven solution that delivers on taste while driving cost efficiencies and environmental impact reduction.
From the investor perspective, the funding reflects growing confidence in food tech innovations that address pressing climate and supply chain challenges. Helen Lin, Partner at At One Ventures and a Prefer board member, commented:
