Danish industrial biotech startup Cellugy has raised $5.3 billion (EUR 4.9 million) in seed funding to scale up manufacturing of its know-how aiming to switch petrochemicals in cosmetics.
The spherical was led by Germany’s ICIG Ventures and Denmark’s Unconventional Ventures, with new, U.S.-based investor Joyance Companions becoming a member of the spherical, together with present traders PSV DeepTech, The Footprint Agency, and EIFO, in accordance with a information launch from ICIG Ventures.
Cellugy has developed a platform know-how that harnesses the ability of micro organism, leveraging cellulose-producing microorganisms that permits the creation of absolutely bio-based and biodegradable alternate options to carbon-intensive petrochemicals, in accordance with the discharge.
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The funding will speed up the deployment and commercialization of EcoFLEXY, a know-how at the moment within the pilot part. Cellugy mentioned it plans a considerable manufacturing improve to a number of tons per yr, increasing its manufacturing capability to business manufacturing to fulfill intensive and rising buyer demand. The funding may also help additional product co-development partnerships to take EcoFLEXY into new software areas and increase the corporate’s IP portfolio and headcount, the corporate mentioned.
“Reliance on fossil-based petrochemical elements is at this time’s most important sustainability difficulty in producing private care merchandise. With our know-how, we genuinely see a future fully free from these polluting elements,” Cellugy CEO and co-founder Isabel Alvarez-Martos mentioned. “Our mission is to develop sustainable options for on a regular basis merchandise, so we’re naturally happy to companion with impact-driven traders. Collectively, we will obtain these targets”.
In accordance with the discharge, the worldwide cosmetics market is predicted to achieve $415.29 billion by 2028. With a rising give attention to well being and sustainability, customers are more and more in search of bio-based alternate options. Cellugy goals to supply what it calls a “drop-in” different, which is especially enticing as it’s simply scalable, matches inside customary tools, and can be utilized in present infrastructures.
“This funding spherical will likely be instrumental in scaling up EcoFLEXY’s manufacturing and distribution, permitting us to satisfy the surging demand for sustainable, high-performance magnificence elements,” Alvarez-Martos defined. “It’s going to additionally gas additional product co-development partnerships for EcoFLEXY, permitting us to unlock its full potential and develop new software areas inside this goal market. By selling sustainable supplies selections and modern manufacturing processes, we see ourselves as additionally enabling the innovation of others, main the best way to more healthy, extra ecological options which are each pores and skin and planet-friendly”.
Lead investor ICIG Ventures represents the CVC arm of Worldwide Chemical Buyers Group, a privately owned German industrial group with market-oriented chemical compounds platforms and enterprises, bringing further useful industry-specific connections, experience, and steering.
“Investing in Cellugy represents a strategic step for ICIG Ventures, underlining our dedication to fostering improvements that drive sustainability within the industrial sector,” ICIG Ventures Funding Director Pelin Yilmaz mentioned. “Cellugy’s breakthrough in biofabricated cellulose know-how not solely aligns with our mission to help inexperienced know-how but additionally guarantees to revolutionize the non-public care {industry} and past”.
“This sustainable different to petrochemicals, coupled with Cellugy’s environment friendly enterprise mannequin and potential for cross-industry software, presents a compelling mixture. We’re significantly excited concerning the synergies in accompanying Cellugy in its scale-up journey. Our funding underscores our perception in Cellugy’s group, know-how, and their imaginative and prescient for a extra sustainable {industry},” Yilmaz added.
“When assembly Isabel, Paruntungan, and Deby we had been significantly impressed with their unified mission of making a sustainable different to petrochemical elements,” Thea Messel, founder and Common Companion at Unconventional Ventures, mentioned. “Their groundbreaking platform know-how has the potential to revolutionize not solely the non-public care {industry}, which is sorely in want of extra sustainable alternate options, however may additionally disrupt industries like textiles and meals”.
“As an impression investor, seeing the founders’ willpower to translate outcomes of scientific analysis into modern business merchandise with vital sustainability positive aspects actually stood out to us, and we’re proud to be backing them on their progress journey forward,” Messel remarked.
To contact the creator, e-mail rocky.teodoro@rigzone.com
