Bound4Blue, a developer of wind-assisted propulsion systems for shipping, has raised €15.9m ($17m) in new funding from the European Union and investors including commodities giant Louis Dreyfus Co and maritime tech firm GTT.
The fundraising brings the total Series A capital raised by the firm, which developed the eSAIL system to reduce fuel consumption and emissions, to €22.4m.
The Spanish company said the funds will be used to roll out the suction sail system and to scale up to meet the demand for zero-emission propulsion as shipping faces up to its carbon footprint.
Bound4Blue chief executive Jose Miguel Bermudez said the new investors’ knowledge and expertise in both shipping and financing will help the company achieve “greater development” and global expansion.
“With their support, we’ll continue steadfast in our mission to drive the decarbonisation of the shipping sector, making wind propulsion a standard on ships,” he said.
The new fundraiser is led by GTT Strategic Ventures, the venture capital arm of France’s GTT, best known as a major maker of LNG containment systems for ships.
“With our co-investors, we will enthusiastically support a talented and committed management team towards building a sustainable maritime world,” GTT chief executive Philippe Berterottiere said in a statement.
Also participating in the investment is the European Innovation Council Fund (EIC Fund), a tech financier set up by the EU, and Louis Dreyfus Company Ventures, the venture capital arm of the French commodities firm that is a major charterer of bulkers.
“As a major dry bulk operator, Louis Dreyfus Co is proud to support Bound4Blue’s efforts to contribute to shipping industry decarbonisation,” said Max Clegg, who heads Louis Dreyfus Company Ventures.
“We believe the company’s wind-assisted propulsion systems will play an important role in reducing our fleet emissions and contribute to a more sustainable maritime industry overall.”
Other new backers include Shift4Good, Sustainable Ocean Alliance, Sun Returns and Kai Capital, and existing investors Ocean Born Foundation and Centre for the Development of Technology and Innovation (CDTI) also got in on the Series A round.
The new funds add to €6.5m in previous grants that Bound4Blue also considers part of its Series A round.
That includes €4.1m grant from the Innovation Fund Program, awarded by the European Climate, Infrastructure, and Environment Executive Agency in 2022.
And the company received €2.4m in 2021 from the EIC Fund’s accelerator programme.
Spanish law firm Ceca Magan advised Bound4Blue on the funding round.
