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Midwest-focused venture capital fund is sole institutional funder in company that can prevent potential egg-related food-borne illnesses such as Salmonella and Avian Flu
Chicago, July 6, 2006 – Hopewell Ventures, 2005's leading Illinois investor in Illinois companies, announced today that it has made a multi-million dollar venture investment in National Pasteurized Eggs (NPE), a Lansing, Ill.-based company that, using a Food and Drug Administration-approved process, produces pasteurized whole, in-shell eggs under the Davidson's Safest Choice Eggs brand.
While almost all milk and cheese products sold in the U.S. are pasteurized, eggs are one of the few remaining large-scale raw food threats, contributing to a reported 1.4 million food-borne illnesses in the U.S. annually. Although any individual can be vulnerable, the FDA and Centers for Disease Control have identified approximately 60 million Americans at an elevated risk from egg-borne Salmonella: children under 10, pregnant women, individuals over 55 and those with compromised immune systems.
NPE's patented process destroys harmful bacteria, including Salmonella, making it safe for all egg preparations, whether cooked or raw. This same pasteurization process also destroys viruses including Avian Influenza, also known as bird flu. The FDA recommends the use of pasteurized eggs to prevent food-borne illness and requires a consumer warning statement on all non- pasteurized egg packages. The warning is a reminder to consumers and restaurant operators of the risks posed from improper handling if yolks and whites are not cooked until hard. Many states have adopted the FDA's food code, which calls for food operations to use pasteurized eggs when serving highly susceptible populations.
"This technology brings shell eggs up to the safety standards of cheese, milk and juice, which have long been pasteurized to prevent illness. It has the potential to become the new standard in food safety, both to protect consumers at home and at their favorite restaurant," said Craig Overmyer, Hopewell Ventures Managing Partner. "As an investor I was impressed by this egg safety technology, but I knew this was a remarkable product when, after I told my physician such an egg was available, she vowed to only buy pasteurized eggs in the future."
NPE eggs are available to consumers through the Davidson's Safest Choice Pasteurized Shell Eggs brand, sold in major supermarkets. NPE also supplies restaurants and commercial food operators nationally through food distributors such as Sysco and U.S. Food Service.
NPE will use the funding to expand its sales and marketing presence, with the goal of increasing its share in retail and institutional food channels.
"Hopewell brings NPE the additional capital we need to expand to meet food operators' increasing demand for our safe eggs," said Greg West, president of NPE. "Hopewell's relationships and contacts, both in the Midwest and nationally, make them an ideal fit as an investment partner for our firm."
About Hopewell Ventures
Hopewell Ventures ( http://www.hopewellventures.com/ ) is a regionally focused $110 million venture capital / private equity fund licensed by the U.S. Small Business Administration as a Small Business Investment Company (SBIC). Now celebrating its second anniversary, Hopewell is the leading Illinois investor in Illinois companies, according to the 2005 Thomson Financial/PWC Money Tree report. Headquartered in Chicago with an office in Peoria, Ill., Hopewell's portfolio includes iTRACS, TLContact, CSMG, InStadium, Diversified Graphics and SageQuest, Inc.
About National Pasteurized Eggs
National Pasteurized Eggs is the producer of Davidson's Safest Choice Pasteurized Shell Eggs. Davidson's Safest Choice Shell eggs are vegetarian, from hens fed a vegetarian diet containing no hormones, no antibiotics and no animal by-products. Food service customers include Carl's Jr. Restaurants, Quizno's, Morton's Steakhouse, Kindred Healthcare, Avendra, Sodexho and Chili's Restaurants. Retail customers include over 2,500 stores in 34 states including HEB Grocery Stores, Safeway, Harris Teeter, Jewel-Osco, Kroger, Giant Eagle, Schnucks Supermarkets, Publix and more. For more information about pasteurized eggs or a list of grocers that carry Davidson's Safest Choice Eggs, visit http://www.safeeggs.com/ , or call (708) 418-8500.
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