Sugar Reduction Startup Raises $2.2M, Gains FDA Approval

An Israeli startup which selectively reduces sugars from beverages such as juice, milk and beer says it has raised $2.26M and obtained self-affirmed FDA food safe status for its proprietary technology.  

BlueTree’s patented process filters the beverage through a natural compound that physically extracts the sugar – and nothing else.

The investment round was led by OurCrowd, Israel’s largest online investment platform, with participation from Sucden Ventures, the VC arm of French soft commodities broker Sucres et Denrées Group (Sucden).  

The investment comes as the company recovers from disruptions caused by relocation from its facility in the northern city of Kiryat Shmona, when Israel’s war against Hamas in Gaza erupted on October 7 and Hezbollah began bombing the area from Lebanon, as well as the emergency call-up by the IDF of some of its personnel.

“On October 7, our primary focus was on the safety of our team, as many faced reserve duty and had to evacuate their homes along with their families,” said BlueTree CEO Michael Gordon, “and we quickly adapted to the situation with a reduced team but heightened determination.” 

Having secured a new location in Katzrin, the company continued with its development and fundraising, according to Gordon. 

“We are proud to secure funding during these challenging times from key partners, enabling us to reach our audience this year,” he said. 

“This demonstrates our commitment to innovation and our goal of improving healthy beverage choices. With this additional funding, we aim to make a significant impact worldwide, one sugar molecule at a time.”