MycoWorks, a California-based mycelium leather manufacturer, has raised USD 125 million in a Series C funding round led by Prime Movers Lab. New investors SK Networks, Mirabaud Lifestyle Impact, Innovation Fund, and existing investors also participated.

The round brings MycoWorks' total raised funds to USD 187 million. The new funds will be allocated to accelerate the commercial production of its leather alternative “Reishi”, building a new USD 107 million worth facility in Union, South Carolina. The funds will also be partly allocated toward R&D, technology development, and hiring new employees.

The operations at the new facility are expected to commence in 2023 via virtual modes. The facility is expected to generate 400 new jobs while helping MycoWorks meet the increasing demand for mycelium-based leather alternatives, targeting fashion and luxury brands. 

Analyst Quicktake: MycoWorks reports that it is receiving an increasing amount of interest from brands to use its patented fine mycelium technology. To keep up with the demand, the company has been focusing on expanding its production capacity. When the company announced its Series B funding round in November 2020, it also reported the opening of its third Reishi plant in California with an annual production capacity of 80,000 sq ft of material, increasing the company’s production capacity tenfold.