In San Francisco, a seaweed-based materials startup has raised $6 million, bringing its total pre-series A funding to $15.4 million. Founded in 2016, Loliware says in a press statement that the funds will be used to grow the market for seaweed materials, launch new products and seaweed resins, and expand R&D.
Loliware’s seaweed-derived resins are fully compatible with existing manufacturing plastic extruding equipment and can be used in a wide array of products. The materials also compost easily and enrich soil once broken down.
Investors include L Catterton, CityRock Venture Partners, Alumni Ventures Group, Geekdom Fund, Ehukai Investments, 5 Pillars Capital, Kilara Capital founder and managing director Ben Krasnostein, Clay Rockefeller, Kiss the Ground co-founder Ryland Engelhart, Nutiva founder and former CEO John Roulac, Blue Bottle Coffee founder Bryan Meehan, and others. U.S.-based plastics manufacturer Sinclair and Rush has committed capital as well.
“What Loliware has created is revolutionary and is on the cusp of a paradigm shift in plastics,” said Alumni Ventures’ managing partner Cainon Coates. “By removing adoption and scale barriers, plastic manufacturers can simply swap plastic pellets for their seaweed pellets. The impact and upside potential are massive.”
The company has already commercially launched single-use drinking straws, cups, utensils and films.