Chipotle invests in microbial products for Midwest farmers, helping ag biotech startup IMIO raise $12M

IMIO, an agricultural biotech startup that makes microbial products for farmers, has raised $12 million and relocated its headquarters from Vermont to Chicago. The company will use the funding to expand its laboratory and biomanufacturing operations as it works to improve soil performance and farm profitability, according to Sofinnova Partners.

Sofinnova led the round. More significantly, Chipotle’s Cultivate Next venture fund also invested, along with Starshot Capital, Grow Together Salinas, Earth Foundry and Serra Ventures. The financing gives IMIO capital to build its Chicago headquarters, lab and production operation, per the company’s announcement.

According to the Chicago Business Journal, IMIO began in Vermont and worked with the University of Vermont and the National Science Foundation while developing early versions of its technology. The startup is now coming out of stealth mode with plans for a 15,000-square-foot facility in Chicago’s Bucktown neighborhood, the report confirms.

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Microbes target crop residue

IMIO’s flagship product, Re-Gen, is a freeze-dried blend of fungi, bacteria, and yeast, Sofinnova Partners noted in its press release. Farmers apply it to crop residue after harvest, where the microbes help break down stalks and leaves, release nutrients, and support soil health. The company sells versions for row crops and produce.

IMIO grows and tests each microbial strain separately before combining them in controlled ratios. Freeze-drying is designed to preserve the microbes during storage, shipping, and field application, addressing concerns about the reliability of agricultural biologicals, said Sofinnova Partners.

“Building a better food system starts with making innovation work for growers—improving their economics, strengthening their operations, and delivering value all the way to the people they feed,” said Christian Gammill, co-General Partner at Chipotle’s Cultivate Next, per Sofinnova Partners’ announcement. “Through Cultivate Next, we bring growers and food buyers together to help promising technologies succeed in the field and scale across the food system. IMIO represents the kind of innovation we want to back: grounded in real agricultural challenges, with the potential to strengthen farm profitability and resilience while helping meet growing demand for real food.”

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The company said Re-Gen has been used across more than 10,000 Midwest acres. Corn trials showed an average yield increase of 11.9 bushels per acre, while the company reported potential savings from lower fertilizer use and reduced tillage. In one Minnesota and Wisconsin farming operation, a treated field exceeded its historical yield record by 30 bushels per acre, Sofinnova Partners confirmed.

IMIO Chief Executive Charles Smith told the Chicago Business Journal that farmers can use the product to increase yields, reduce fertilizer costs and improve soil function.

The move is intended to place IMIO closer to customers across Illinois, Iowa, Minnesota and Nebraska while giving it access to Chicago’s agriculture and biotechnology talent. Smith said the company also plans to pursue larger agricultural businesses with extensive supply chains, per the Chicago Business Journal.