Already secured $10 million in phase II funding

Greentech Innovators Quickfacts

Product

We use food waste to produce a growth media used for fermentation for production of micro-algae high in omega-3 oil and protein that can substitute fish oil.

We act as a service provider for waste companies and charge a gate fee for the raw-material we use.

Customers and business model

Our business model is to act as a service provider for waste companies and get a gate fee for the waste. This means we are paid for the raw-material we use to produce growth media and micro-algae as an omega-3 and protein source. There is high demand for omega- 3 as aquaculture feed to substitute fish oil.

Key IP

We have no patents but see our solution as a secret.

Status

We have a functional growth media and we have a contract with a waste company for a gate fee which means we get paid for the raw material we use for our product. We have LOIs with large feed companies.

Company

Greentech Innovators is located in Norway in the city of Bergen.

We currently have 3 full time employees.

Current Investors

We have raised a total of 1,9 M Euros split in:

750.000 Euros in Equity

200.000 Euros in convertible notes.

1.000.000 in grant

of the grant 750.000 is a new grant from the Norwegian research council. In addition, we have a tax refund of 19% for the next three years. This means we have funded 69% of activities for the next three years. We have equity from the founder, industry partner and angel investors.

Investment Opportunity

We are raising 750.000 Euros convertible loan note, with interest at 4% per quarter with an estimated return of 12% for 9 months for phase I pilot funding.

We have secured $10 million from a VC for phase II funding.

Forecast

We are budgeting with profit from 2026, and a total revenue of 6.6 ME and a net profit of 1.6 ME (24%).

Ask

We are asking for 750,000 Euros in convertible loan note to match grant funding of 750,000 and a tax grant of 19%. The equity will be used to invest in a pilot plant for 500,000 Euros and working capital of 250,000 Euros.
Pre-money valuation is 5,250,000 Euros and 750,000 euros will give 12.5 % ownership in the company.

Problem

EU regulations require waste management companies to use more sustainable waste solutions: from 2024, incineration of food waste is prohibited and in Norway there is a carbon tax on incineration. Landfills are responsible for 11% of global Methane emission, a GHG 70 times stronger than CO2. Traditional waste solutions have low or negative value of end products. 

Our waste solution reduces GHG by 200 kgs CO2 per ton of food waste compared to composting while producing valuable micro-algae derived Omega-3.

Feed producers have a limited supply of omega-3 oil in aquaculture feed: total global production is 1.2 million tons and the production cannot increase as fish stocks are already utilized or over-fished. The only way to increase omega-3 production is to produce micro-algae. Our LCA analysis shows that we can reduce CO2 emissions by 2000 kgs CO2 per ton of omega-3 rich oil produced compared to fish oil. We can offer feed producers a sustainable and growing supply of Omega-3 oil. Omega-3 is vital for fish, animal and human health.

Solution

We up-cycle food waste to high value feed ingredients like micro-algae with a high content of Omega-3 and protein.

Feed producers are looking for more sustainable protein and omega-3 sources to substitute fish oil, the dominating omega-3 source. Fish oil production can not increase as global fish stocks are utilized or over fished. 

• We offer feed producers a sustainable feed with a low carbon footprint compared to fish oil.
• We offer waste companies a more sustainable waste solution to substitute traditional, CO2 intensive solutions including landfills, incineration, composting or bio-gas.

Uniqueness, technology overview, barriers to competition

We utilize food waste to create feed products that are in high global demand. We use biotechnology to convert nutrients in food waste to fermentable nutrient and homogenising waste which is in turn converted into omega-3 rich micro-algae. 

Traditional micro-algae production uses sugar cane as a carbon source. We are using a much cheaper source, food waste, and can compete on price.

Due to the limited supply of fish oil, feed producers have started to use plant-based oil in salmon feed, but this resulted in a reduction of Omega-3 in salmon fillet by 50%. Our key selling point is that we have a more sustainable product that increases the supply of omega-3 which is in high global demand, while simultaneously reducing the environmental impact of waste solutions.

Market size and analysis

Total global market for food waste is 2.5 billion tons annually. The omega-3 oil market is expected to grow 7,2 %. The omega-3 market for salmon feed is expected to grow by 3 million tons, but annual fish oil production is already maxed out at 1.2 million tons and can not grow further due to overfishing. 

We have made a report for the fermentation media and this market is expected to grow by 10% annually.

Traction

We have a contract for a gate fee from a local waste company, the second largest in Norway. We have LOI with two of the largest fish feed producers. We have received several awards for our sustainable solution for organic waste. We have a local waste company as an industry partner and we have access to good infrastructure. We have traction from angel investors and have just received funding from the Norwegian Research Council.

Core Team

We have two angel Challenge investors as board members and advisors. Camilla Watz Johannesen and Jonas Ludvigsson. Both are experienced in industry and early-stage companies. We have good R&D partners in NOFIMA (Norway) and Biotrend (Portugal). We have a broad international network for future expansion of our solution. BIR Bedrift, a local commercial waste company, is an important partner and we have access to raw material, logistics, production area and offices at BIR.

Vision

Our vision is to scale our solution globally in J&Vs with local waste companies and in 10 years we will process 9.2 million tons of waste and reduce CO2 emissions by 1.8 million tons and produce 128.000 ton microalgae containing 27.000 ton protein and 40.000 ton omega-3 oil.