MONTREAL — Mid-Day Squares, a millennial-led maker of functional chocolate bars, has raised $10 million in Series C funding led by Siddhi Capital.
Described by its founders as a modern-day Hershey Co., the startup offers organic, plant-based bars formulated with hemp protein, sacha inchi protein, pumpkin seeds, dates, yacon syrup, maca powder and pink salt, topped with a layer of raw dark chocolate. Varieties include fudge, almond crunch and peanut butter. Products are available throughout Canada and the United States, including Sprouts Farmers Market nationwide and Whole Foods Market in select regions.
Mid-Day Squares is on track to generate $17 million in revenue this year and $36 million next year, said Nick Saltarelli, who co-founded the business with his wife, Lezlie Karls, and her brother, Jake Karls. The new capital will support expanded retail distribution and construction of a manufacturing facility in the United States.
The company also padded its leadership team with key hires, Mr. Saltarelli said. Former Sysco executive Vanessa Palumbo has joined as chief financial officer. Mike Scavuzzo, with prior stints at RXBAR and Red Bull, is vice president of sales. Corrie Higgins, who most recently led sales in Canada for Flow Water, was tapped as director of Canada. Kevin Pocklington, a PepsiCo veteran, became vice president of operations. Lea Chaussee, previously with the Bel Group, is director of human resources.
Since its founding four years ago, the leaders of Mid-Day Squares have documented the best and brutally unfiltered moments of the business on social media. A videographer was an early addition to the team to capture the hijinks and hiccups, mishaps and milestones. Mr. Saltarelli has likened the business to a “reality show on Instagram,” where it has more than 76,000 followers.
Mid-Day Squares plans to add its fourth flavor, cookie dough, later this year. Mr. Saltarelli said the company has a “clear path” to achieving $100 million in sales on its current product offering by expanding distribution and continuing to drive strong velocities in North America.
“Nobody believes us that we want to do this for 20 years, and I hope that every year that goes by, that people will start to really believe we’re here for the long haul,” he told Food Business News. “And I hope in time we’ll be known as the crazy kids who actually know how to execute.”Additional investors in the round included Boulder Food Group, Selva Ventures, Harlo Entertainment, Peter Burns, David Cynamon, Mike Fata, Bobby Parrish, David Meltzer, Noah Brennan, Clayton Christopher, Gurdeep Prewal, Dylan Barbour, Rachel Mansfield, Elly Truesdell and Alexandre Guertin.