German plant-based food manufacturer Veganz has secured up to €10m ($10.9m) in equity financing.

The group signed a so-called securities purchase agreement with US-based investment firm Global Corporate Finance LLC (GCF) and will use the funds to scale the production of its milk-alternative brand Mililk.

Veganz will also put the funds toward its Peas On Earth pea protein-based meat alternative.

The Berlin-based group said: “With this financing, Veganz’s main aim is to optimise and automate the production processes, which will enable Veganz to increase the production capacity of Mililk milk alternatives based on oats and almonds by a factor of five to meet increasing demand.”

The contract with GCF allows for the flexible use of the financial resources over a 30-month period. Funds will be raised by issuing new shares based on the valuation determined at the time of the retrieval.

Last year, Veganz acquired “significant parts” of the cheese-alternatives producer Happy Cheeze.

Previously operating under the Dr Mannah label, Happy Cheeze filed for insolvency earlier that year.

Veganz took on the brand’s portfolio of 13 products, which included a range of flavoured vegan cheese spreads, as well as parmesan and camembert alternatives.

The retailer also took over the brand’s 1,000m2 production facility in Cuxhaven, Lower Saxony.

Veganz CFO Massimo Garau declined to reveal the sum of the acquisition when asked by Just Food.

At the time, Garau said: “From a geographic point of view, we are concentrating on Germany and the DACH region [which includes Austria and Switzerland] at first, but we will certainly continue to analyse options for expanding in other countries.”

Katjesgreenfood – the investment arm of German confectioner Katjes Group – secured a stake in Veganz in 2016.