Australian algae producer enters pet food industry with new merger

Genesis, the agricultural and environmental services arm of BioGenesis, is Australia’s largest commercial algae producer. Brisbane-based Proudi manufactures natural pet food and treats for cats and dogs supplemented with Chlorella, a freshwater microalga commonly used as a dietary supplement.

The combination is set to strengthen the group’s ability to commercialize locally grown Chlorella across agriculture, animal nutrition and human health.

“Genesis is already pioneering the use of Australian-grown Chlorella in premium animal nutrition,” the company tells GlobalPETS. 

The company’s YumGuard products incorporate the substance as a key functional ingredient, and it is being progressively integrated into new and upgraded formulations. This includes the newly launched Air Proudi air-dried raw food range.

Expanding retail footprint

Genesis forecasts the merger to double its revenue through Proudi’s new national distribution agreement with supermarket chain Coles and rising international sales. 

“The current split is around 70-80% domestic and 20-30% export. We expect overseas sales to account for a growing share in future,” Genesis tells GlobalPETS.

Proudi’s products are scheduled to enter Coles’ distribution network in the coming weeks, broadening its national presence alongside existing partnerships with Australian pet retailers Petbarn, Pet Circle, PetO, PetQuarters and Just For Pets. 

The company also supplies independent pet stores and works with distributors.

GlobalPETS learned that its YumGuard brand has recorded sales growth of more than 300% year-over-year as demand for premium Australian-made pet nutrition products increases across Asia.

Building an integrated business

The merger combines the group’s research capabilities, manufacturing infrastructure and proprietary production methods with Proudi’s established consumer brands and retail network. 

The transaction is also expected to accelerate product development, improve manufacturing efficiency and support expansion into additional nutrition categories.

“Operating across multiple Chlorella applications enables Genesis to leverage shared capabilities, infrastructure, expertise and procurement advantages. This improves operating efficiency and strengthens the economics of our integrated business model,” the company says.

Proudi will also have access to shared resources, technology and talent, supporting its retail expansion and increasing the availability of its pet food products. Genesis says its in-house Queensland factory has the capacity and flexibility to support further growth.

Under the new structure, Proudi founder Dennis King will join the group’s Board of Directors, while Eric Chen will remain Genesis Group’s CEO, overseeing operations across agriculture, animal health, human health and environmental sustainability.