VC-backed faux leather startups stock up to scale up

Startups are raising cash to ramp up production of mushroom and plant-based textiles, giving rise to a new generation of vegan leathers that are more sustainable than petroleum-based "pleather."
 

• MycoWorks has raised a $125 million Series C led by Prime Movers Lab. The startup is putting the money toward its first production plant to create Reishi, a leather substitute made from mycelium.
   
• Rival Bolt Threads raised $253 million at a $1.15 billion valuation in September in a previously unreported round, according to PitchBook data. Last year, its mushroom-derived leather, dubbed Mylo, was made into a bag for Stella McCartney's runway show, Adidas' classic Stan Smith sneaker and a Lululemon yoga mat. 
   
• Plant-based leather company Natural Fiber Welding has received backing from BMW i Ventures and Allbirds, raising $17 million last year in addition to doubling its commercial manufacturing footprint.

Featured image courtesy of MycoWorks/Carla Tramullas