Sweden-based Algae Factory Secures €3Million in Additional Funding

The company uses diatoms—microscopic algae with high-tech silica shells—to create Algica, a material with applications in beauty, green chemicals, and energy storage. To meet growing demand, it is expanding its factory in Western Sweden.

Diatoms produce about one-fifth of the world’s oxygen and have unique properties like light absorption and reflection making them useful for advanced applications. Swedish Algae Factory harnesses these natural features to develop Algica for beauty, energy, and sustainability industries.

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Algica is already used in over 60 personal care products worldwide, valued for its light-reflective properties in skincare and makeup.

Sofie Allert, CEO and co-founder of Swedish Algae Factory said, "We are beyond excited to have a fully functioning factory that serves our clients globally, We are striving towards a production that is as environmentally friendly as possible, using recycled nutrients and carbon dioxide for algae growth. Our organic by-product is used to produce biogas and eco-fertilizers, but in the future, it may be used in animal feeds, cosmetics, and food products."

Jonas Bergman, investment director at Chalmers Ventures said, “Swedish Algae Factory has done truly groundbreaking work by scaling their production while generating revenue with existing clients, something that takes deep-tech companies usually a lot longer,” “As green chemicals are something that we at Chalmers Ventures find especially interesting, we can’t wait to see what sort of solutions diatom shells can be used to replace harmful products.”

About Algae Factory

Swedish Algae Factory creates eco-friendly materials with unique functions. Their goal is to become a global leader in algae-based advanced materials and promote a sustainable, circular economy.