Biotech startup ZymoChem announced today that it has raised $21 million, with proceeds from the Series A funding round, in addition to funding from the U.S. Department of Energy and existing revenues, to be used to launch its first high-performance material and advance its first partnered product to commercial scale.

Founded in 2013, California-based ZymoChem uses microbes to convert renewable feedstocks into high-value, biodegradable polymers with a near-zero CO2 emissions footprint. According to the company, the process produces materials with a cost advantage over petroleum-based products, and at higher yields than current biomanufacturing.

Harshal Chokhawala, Co-Founder and CEO of ZymoChem said:

“We’re upending the materials industry. Our technology delivers sustainability without compromising performance, scale, and importantly economics. This unlock already catalyzed multiple partnerships with world-leading companies and we’re thrilled to expand our impact with our key stakeholders.”

The funding round was led by bioscience-focused venture investor Breakout Ventures with participation from new investors including lululemon athletica and Toyota Ventures, as well as existing investors including GS Futures, KdT Ventures, and Cavallo Ventures.

Lindy Fishburne, Managing Partner at Breakout said:

“ZymoChem has the most compelling technology we’ve seen to scale bio-based chemicals and materials while remaining cost competitive with petroleum-derived products.”

Element Zero, a green materials platform company, announced today that it has raised $10 million in seed funding, with proceeds to be used to scale up its platform aimed at decarbonizing iron and other critical metals production.

Founded in 2022, Element Zero offers a cost effective and efficient platform for the conversion of iron ore and other metals into their pure metal form with zero carbon emissions, using a non-aqueous electrochemical process to process the full spectrum of iron ores at a lower temperature that can run on intermittent renewables like wind, solar, and hydropower. The company said that it uses 30-40% less energy per ton of iron than coal and gas-based processes, without the CO2. Steelmaking is one of the biggest emitters of CO2 globally, and one of the more challenging sectors to abate, with total greenhouse gas emissions (GHG) from the sector accounting for 7% – 9% of direct emissions from the global use of fossil fuels.

Based in Perth and the north of Western Australia, adjacent to ports responsible for nearly 55% of the world’s seaborne iron ore supply, Element Zero plans to develop five million tons per year of iron ore feed, producing around 2.7 million tons of high purity iron.

The company said that it will use the new funding to grow its R&D engineering, and project development teams and scale the development of a pilot iron plant.

Michael Masterman, Founder and CEO of Element Zero said:

“Our processing platform will, for the first time, allow cost-effective and scalable production of carbon-free metals crucial to the iron and steel and critical metals industries. We are excited to have Playground Global join our journey to tackle the decarbonization of hard-to-abate sectors. Support from Playground Global goes way beyond financial investment, and we are already in deep discussions about developing green iron and green silicon value chains in the U.S. We are also working with major iron ore miners and iron and steel companies globally.”

The funding round was led by early-stage venture capital firm Playground Global. Peter Barrett, Co-Founder and General Partner at Playground Global, has joined the company’s board of directors.

Barrett said:

“Element Zero will help transform Western Australia from the world’s mine into the world’s foundry, dramatically reducing carbon emissions in the process. Australia is poised to become a leader in resilient and sustainable global prosperity – its natural wealth in minerals and renewable energy blended with innovation in electrochemistry and new materials will cement its leadership in the energy transformation. Element Zero is a major catalyst in this shift and the Pilbara region in the north of Western Australia stands as the premier location globally to showcase the company’s potential.”

Supply chain traceability platform TrusTrace, announced today that it has raised $24 million through a growth investment led by circular economy-focused investor Circularity Capital.

Founded in 2016, Stockholm, Sweden-based TrusTrace offers a software-as-a-service (SaaS) platform for supply chain traceability and compliance, enabling brands and suppliers to standardize how supply chain and material traceability data is captured, digitized, and shared. With a focus on the fashion industry, the platform helps apparel manufacturers comply with sustainability commitments by tracking and verifying the source and journey of textiles used in manufacture. The data can be used for risk management, compliance, product claims and footprint calculations.

TrusTrace customers include some of the largest global apparel, footwear and luxury brands, including adidas, Brooks Running, Tapestry, and Asics.

The fundraising comes as the fashion industry is under increased scrutiny by regulators, environmental groups and consumers for human rights violations, unsustainable manufacturing processes and waste. For example, in 2023, the European Commission unveiled new proposed rules aimed at supporting the sustainable management of textile waste, and placing responsibility for the full lifecycle of textile products in the hands of producers.

Shameek Ghosh, CEO and Co-Founder of TrusTrace said:

“A growing number of fashion and textile brands are adopting supply chain traceability to support their sustainability goals and ensure competitiveness in the face of mounting regulatory and consumer pressure. The completion of this growth investment is further evidence that businesses see traceability as critical to achieving their sustainability goals.”

According to TrusTrace, proceeds from the new investment will be used to accelerate the company’s global expansion by expanding its presence in key markets, deepening product innovation, and expanding collaborations.

In addition to Circularity Capital, the growth investment included participation from existing investors Industrifonden and Fairpoint Capital.

Anders Brejner, Investment Director at Circularity Capital, said:

“We see a growing number of global fashion brands looking to transition away from today’s linear ‘take-make-dispose’ model of production and consumption to one that is more sustainable and equitable. We believe this is only possible at scale with the right digital backbone to provide transparency and traceability across complex global supply chains.”

Clean fuels startup INERATEC announced today that it has raised over $129 million in its Series B funding round with proceeds to be used to scale production of the company’s sustainable e-fuels, aimed at decarbonizing hard-to-abate industries.

Founded in 2016, Karlsruhe, Germany-based INERATEC produces sustainable e-Fuels and synthetic chemicals to replace fossil crude oil. The company builds modular chemical plants for “Power-to-X” Power-to-X and gas-to-liquid applications, which use hydrogen from renewable electricity and greenhouse gases such as CO2 to produce fuels and chemicals including e-kerosene, CO2-neutral gasoline, clean diesel or synthetic waxes, methanol or SNG.

According to INERATEC, the financing comes as demand for drop-in e-Fuels is expected to increase rapidly over the next several years, as sectors that rely heavily on fossil fuels, such as aviation, shipping, road transport and chemicals, seek renewable alternatives to achieve their climate goals. INERATEC produces a drop-in e-Fuel, a synthetic fuel that releases no CO2, and can be used in place of fossil fuels.

The company said that the new capital will be used to start mass production of its industrial-scale Power-to-X plants worldwide. INERATEC has also begun construction of its largest plant to date in Frankfurt and is expanding through international projects in the Netherlands and Chile, with the expansion expected to yield a 1,500 x increase in production, recycling over 12,000,000 metric tons of CO2 annually.

INERATEC CEO Tim Boeltken said:

“This financing round is a major milestone for INERATEC as well as the transition from fossil fuels to sustainable e-Fuels. With the new capital, we are positioned to catalyze a paradigm shift in the energy sector. Our focus is to scale-up e-Fuels enabled by this new investment. By transforming 1GW of renewable energy into 125 million gallons of sustainable e-Fuel by 2030, we are taking solid steps in creating a viable alternative to fossil fuels.”

The round was led by San Francisco-based venture investor Piva Capital with participation from investors including Planet A Ventures, MPC, High-Tech Gründerfonds, FO Holding, Safran Corporate Ventures, Honda, ENGIE New Ventures, HG Ventures, TDK Ventures, Copec WIND Ventures, RockCreek, Emerald, and Samsung Ventures.

Adzmel Adznan, Co-founding Partner at Piva Capital said:

“INERATEC’s pioneering technology is the most promising e-Fuel solution we’ve seen to date in addressing the hardest-to-decarbonize sectors such as aviation, shipping, and chemicals. The company is doing more than just creating e-Fuels; their proprietary reactors are more efficient and scalable, re-imagining how industry can transform waste CO2, green electrons and hydrogen to meet various needs, from fuel to power cars, planes, and ships to green chemicals for our everyday consumptions. We believe that INERATEC has the winning solution to transform industries and help the world meet its collective goal to transition away from fossil fuels for energy.” 

Global impact investor BlueEarth Capital AG announced today that it has reached $378 million in investor commitments for its private equity climate impact strategy, BlueEarth Climate Strategy, Commitments include $308 million from the BlueEarth Climate Growth Fund, and $70 million from LPs in a tailored mandate and co-investments.

Founded in 2015, Switzerland-based Blue Earth Capital manages investment strategies for professional investors seeking market-rate returns, in addition to addressing social and environmental challenges. The firm is owned by Swiss not-for-profit Blue Earth Foundation, which re-invests 100% of the firm’s operating profits in support of its philanthropic activities.

BlueEarth’s Climate Growth Fund, classified as Article 9 under the SFDR regulation, invests in companies in North America and Europe at the growth stage, between venture and buyout, that are working to accelerate the net zero transition, improve society’s resilience to climate change, and promote a circular economy.

The climate strategy targets investments across five key themes, including energy transition, buildings and mobility, climate intelligence, production and consumption, and food and agriculture.

Kayode Akinola, Head of Private Equity at Blue Earth Capital, said:

“The significant investor commitments received for the BlueEarth Climate Strategy demonstrate the essential role of for-profit impact investing in helping to address some of the world’s biggest climate challenges. Through this strategy, BlueEarth is addressing opportunities graduating from the venture stage but still too early for traditional buyouts – catalysing climate solutions of the future whilst aiming for attractive, market-rate returns.”

Electric vehicle fast-charging provider Electra announced today that it has raised €304 million (USD $330 million) in equity funding. The company plans to use the funds to support its goal to install 2,200 stations with 15,000 charging points in Europe by 2030.

The fundraising marks the largest in the charging sector to date in France, and the second-largest in Europe.

Founded in 2021, Paris-based, Electra aims to deploy a fast-charging network to help resolve one of the main obstacles to EV adoption. Electra’s app analyzes a client’s vehicle, the availability and power of nearby charging stations and recommends the best charging options. The company has deployed nearly 1,000 charging points and has a presence in France, Germany, Belgium, Luxembourg, Italy, Switzerland, Austria, and Spain.

Aurélien de Meaux, co-founder and CEO of Electra, said:

“The transition to electric mobility is a key aspect of the energy transition, with the transportation sector being the largest CO2 emitter in France. We are creating a network that is very easy to use, making the transition to electric vehicles desirable and not a constraint.”

The funding round was led by the Dutch pension fund service provider, PGGM with participation from Bpifrance, through its Large Venture fund, and previous investors including Eurazeo, RIVE Private Investment, the SNCF group, and Serena.

Dennis van Alphen, Head of Infrastructure Investments at PGGM, said:

“PGGM Infrastructure Fund fully supports Electra’s ambition to become a pan-European player in the market of (ultra)fast charging facilities for EVs. The enterprise has excellent management and a strong position with good locations in a very dynamic market that is expected to grow rapidly in Europe in the coming years.”

Clean energy tech startup Aira announced today that it has raised €145 million (USD$158 million) in its Series B financing round, aimed at accelerating electrification and reducing the use of gas in residential heating in Europe.

According to Aira, the financing round was significantly oversubscribed, and was upsized from an initially targeted €85 million.

Founded in 2022 by impact company builder Vargas, Stockholm, Sweden-based Aira provides clean energy-tech solutions aimed at accelerating the electrification of residential heating, including a high-efficiency heat pump.

Heat pumps are rapidly emerging as a key energy efficient and climate-friendly alternative to furnaces and air conditioners, producing fewer greenhouse gas emissions and reducing reliance on fossil fuels. According to the European Commission Joint Research Center, there are nearly 90 million residential fossil fuel-based boilers in use. Aira said that switching from a gas boiler to an air source heat pump with its clean energy solution can reduce household heating costs by up to 40% and CO2 emissions by 75%, rising to 100% if fossil-free energy is used as the source of power for the heat pump.

The company said that the new funding will be used for market expansion across Italy, Germany, and the UK, the introduction of an affordable monthly payment model for European homeowners, the expansion of the company’s portfolio with products and services including intelligent heat pumps, solar panels, battery storage and electricity tariffs, as well as for R&D aimed at providing simple to use and customer-centric clean energy-tech solutions. 

The company also announced a €15 million grant from the Polish government for the establishment of a state-of-the-art manufacturing site in Poland to produce heat pumps.

The Series B round was led by Altor, Kinnevik and Temasek and also includes the Burda family, Collaborative Fund, Creades, Lingotto, Nesta Impact Investments and Statkraft Ventures.

Martin Lewerth, Aira Group CEO, said:

“We are thrilled to welcome our new shareholders. Above and beyond the funding, they bring invaluable strategic insights, networks, and expertise. Together, we are committed to spearheading the much-needed green revolution in residential heating. The completion of our Series B funding makes us well capitalised and ready to accelerate our pan-European platform expansion, significantly reducing both heating bills for households and carbon emissions across Europe.”

Sustainable mobility solutions provider Hexagon Purus announced today that it has raised approximately 1 billion NOK (USD$96 million), with proceeds aimed at growing its capacity for its zero emission mobility and hydrogen infrastructure solutions.

Founded in 2018 as the e-mobility unit of clean energy solutions company Hexagon, Norway-based Hexagon Purus produces clean mobility products including hydrogen Type 4 high-pressure cylinders and systems, battery systems and vehicle integration solutions for fuel cell electric and battery electric vehicles, for applications across light, medium and heavy-duty vehicles, buses, ground storage, distribution, refueling, maritime, rail and aerospace.

The company said that the new financing will be used to ramp up capacity at its five production facilities, two of which are Germany, one in Canada, one in China and one in the United States, in Maryland. A second US site in Dallas is expected to open 2024.

Morten Holum, CEO of Hexagon Purus, said:

“We operate in an increasingly supportive regulatory environment with large investments being made into renewable energy generation and hydrogen to support the clean energy transition.”

Hydrogen-focused investor Hy24 joined as a new investor in the funding round through its newly raised Clean Hydrogen Equipment Fund, alongside existing investors Mitsui and Hexagon Composites.

Guillaume Lesueur, Managing Director & Head of the Clean Hydrogen Equipment Fund at Hy24, said:

“This investment, the first by our Equipment Fund, reinforces Hy24’s position as a strategic investor and a catalyst in fostering the clean hydrogen economy. It bolsters the growth initiatives of Hexagon Purus, a global leader in the midstream of the hydrogen sector, exemplifying our Fund’s commitment to the mature and pivotal hydrogen technologies that are essential to decarbonizing industry and mobility sectors.”

Global growth equity investor General Atlantic announced today the acquisition of sustainable infrastructure investor Actis. Following the acquisition, Actis will become the sustainable infrastructure arm within General Atlantic’s global investment platform.

The move marks the latest in a series of moves by major asset managers to boost their capabilities to target a rapidly growing infrastructure opportunity set driven by themes including energy transition and decarbonization, including last week’s acquisition by BlackRock of infrastructure giant GIP for $12.5 billion.

According to General Atlantic Chairman and CEO Bill Ford, the acquisition comes amidst a “global paradigm shift toward sustainability,” which will require “an economic transformation and a capital investment on a massive scale.”

Ford added:

“With the addition of Actis, we are taking a significant step forward to add a sustainable investment capability which positions General Atlantic to capture this opportunity set for our investors.”

Founded in 2004 as a spin-out from UK development finance institution CDC Group, London-based Actis has grown to more than 140 investment professionals across 17 global offices, with approximately $12.5 billion in AUM, and over $25 billion in capital raised since inception, targeting investments in critical infrastructure across key themes including energy transition, digital transition, and supply chain transformation.

Following the acquisition, General Atlantic will manage approximately $96 billion of AUM across sustainable infrastructure, real estate, growth equity and credit. The sustainable investment unit will continue to be led by Actis Chairman and Senior Partner Torbjorn Caesar, and the firm will retain the Actis brand.

Caesar said:

“We are very excited to be joining forces with General Atlantic. The combined firm brings together distinct but highly complementary strategies that unlock long-term value for our investors across key structural themes including the energy transition and digital transition.”

Financial terms of the acquisition were not disclosed. The transaction is expected to close in Q2 2024.

Battery technology startup Tiamat announced that it has raised €22 million, with proceeds aimed at developing and commercializing its lithium-free sodium-ion battery technology.

Established as a spin-off from France’s Centre National de la Recherche Scientifique (CNRS) in 2017, Tiamat designs, develops and produces solutions for energy storage applications. The company’s sodium-ion technology offers strong properties for power applications, including fast charging, durability, high power density and safety, as well as low cost per kilowatt-hour. The technology, based on abundantly available sodium, is also free of lithium and cobalt, helping to address key sustainability and supply chain constraint challenges facing the battery sector.

The funding round added several new strategic investors, including automotive giant Stellantis, through its corporate venture fund Stellantis Ventures, materials science company Arkema, and defense equipment company MBDA.

Ned Curic, Stellantis Chief Engineering and Technology Officer, said:

“Exploring new options for more sustainable and affordable batteries that use widely available raw materials is a key part of our ambitions of the Dare Forward 2030 strategic plan that will see us reach carbon net zero by 2038. Our customers are asking for emissions-free vehicles that offer a combination of robust driving range, performance and affordability. This is our North Star, as Stellantis and its partners work today to develop ground-breaking technologies for the future.”

Alongside support from the French government and the EU, proceeds from the financing round will be used by the company for a new 5 GWh sodium-ion battery cell Giga-factory in France, initially focused on power tools and stationary storage applications, and targeting scaling up production of second-generation products for battery electric vehicle (BEV) applications. Operational capacity at the plant could reach 0.7 GWh by the end of 2025, according to Arkema.

Armand Ajdari, Chief Technology Officer at Arkema, said:

“Our portfolio of advanced materials enables us to provide solutions for all our customers’ battery technologies. The sodium-ion technology developed by Tiamat is very interesting, as it will enable to do away with the dependence to lithium and several strategic metals. This operation enriches our ecosystem, and is perfectly in line with Arkema’s strategy: innovative materials for a sustainable world.”