In Sweden, bioplastics maker Gaia Biomaterials has secured a $5 million rights issue backed by the Swedish state-owned greentech venture capital fund Almi Invest Greentech and private international and domestic investors. Funds will be used to expand market penetration in the United States, India, and other targeted markets.
Gaia Biomaterials’ home-compostable, limestone-based material, Biodolomer, can replace fossil plastic in everything from drinking cups to grocery bags. It is fully compostable with a minimal carbon footprint and does not result in any microplastics during the composting process,
“We look for great commercial and environmental potential combined,” said Almi Invest Greentech investment manager Jörgen Bodin. “Although we look at about 300 companies yearly we only invest in a handful. Gaia Biomaterials has a proven track record of living up to its promises. Their product has an enormous potential as it is both climate-positive and will reduce waste and microplastics.”
Gaia’s material was recently used in beer cups for the Formula 1 final in Abu Dhabi. It is also used in a variety of disposable products to replace fossil plastic, from health-care aprons to drinking straws, food containers, and planting pots. Today, Gaia has a production capacity that can be scaled up to 50,000 tons/year within the existing structure.