BANGALORE, INDIA — Loopworm, a biomanufacturing company specializing in insect-derived proteins, announced July 1 that it has raised $3.25 million in a Pre-Series A funding round. The funding will support the company’s proprietary novel process of transforming silkworms into complex proteins.

Founded by Ankit Alok Bagaria and Abhi Gawri, both graduates of the Indian Institute of Technology (IIT) Roorkee, Loopworm has developed a new approach to producing recombinant proteins, those made by inserting genetic material into yeast, bacteria or other organisms to create medical and industrial proteins. According to Loopworm, this process traditionally requires expensive equipment and energy-intensive bioreactors, however, the company has bypassed this by using silkworms as its “factories.” The result is complex proteins produced faster, cheaper and more sustainably without the use of a bioreactor.

“Recombinant protein manufacturing has long been constrained by expensive infrastructure and slow scalability,” Bagaria said. “Our reactor-free approach using silkworms changes the economics entirely. Having proven the technology, we are now focusing on commercializing our recombinant protein production platform, initially targeting diagnostics, animal vaccines and other applications with lower regulatory barriers.”

Loopworm currently operates a state-of-the-art facility that processes 6,000 tonnes of insects annually in Bangalore. The facility is ISO 22000, GMP+, HACCP and EU Traces certified. The company exports its silkworm and insect-based protein and oil to Europe, South America and the Association of Southeast Asian Nations (ASEAN) countries. In addition to its growth, the company has also made significant technical breakthroughs, including successfully expressing complex proteins in silkworm pupae. 

“As biotech evolves, the demand for manufacturing platforms that combine speed, cost-efficiency and scalability continues to grow,” Gawri said. “Our silkworm-based platform is uniquely positioned to meet these needs with unmatched flexibility and affordability. With this new funding, we’re accelerating our efforts to make a meaningful contribution to India’s national bio-economy vision.”

The funding round was led by Loopworm’s existing investor WaterBridge Ventures, as well as Japanese venture capital firm ENRISSION INDIA CAPITAL. 

“Loopworm is testament to the dominant role Indian startups can play in the global biotech industry,” said Ashish Jain, partner at WaterBridge. “Their silkworm recombinant platform isn’t just novel — it’s a potential leapfrog moment for biotech in India.”

Harsh Deodhar, principal at ENRISSION INDIA CAPITAL, added, “For us, the investment represents both conviction in Loopworm’s platform and alignment with Japan’s strategic and biotech priorities. Loopworm’s approach holds strong potential across multiple sectors in Japan, aligning well with the country’s sustainability goals and industrial biotech ambitions.”

Loopworm currently has regulatory approvals for its R&D-scale production of its recombinant protein, has filed multiple patents on its technology and is in the process of building broader compliance and IP framework. 

Read more about insect-based ingredients in the pet nutrition space.