Funding

Elea & Lili Raises €2.5M Funding To Launch Sustainable Material Innovation

Mar 18, 2026 | By Kailee Rainse

Elea & Lili, a deeptech startup spun out of the VTT Technical Research Centre of Finland, has raised €2.5 million in seed funding to industrialize its cellulose-based superabsorbent material, a fossil-free and biodegradable alternative to conventional polymers.

SUMMARY

  • Elea & Lili, a deeptech startup spun out of the VTT Technical Research Centre of Finland, has raised €2.5 million in seed funding to industrialize its cellulose-based superabsorbent material, a fossil-free and biodegradable alternative to conventional polymers.

The round was led by Lifeline Ventures, with participation from Ikorni Invest Oy Ab and Baltiska Handels Sverige AB.

The company builds on over a decade of biomaterials research at VTT, with its technology and intellectual property transferred to the startup.

Elea & Lili aims to replace fossil-based absorbent materials used in large-scale applications such as disposable hygiene products and agriculture, addressing plastic waste and microplastic pollution.

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At the heart of the innovation is the Cellulose Super Absorbent (CSA) a biomaterial that matches the performance of traditional polymers while remaining biodegradable and compatible with existing manufacturing processes.

CSA is designed to replace non-biodegradable components in products like diapers and provide a sustainable solution for water retention and nutrient efficiency in agriculture.

Elea & Lili is collaborating with industrial partners across the cellulose and biomaterials value chain to scale production from pilot to commercial levels. Its initial go-to-market focus is on hygiene and agriculture where absorbent materials are essential and demand for sustainable alternatives is growing.

The funding will support pilot production, industrial validation and early commercial launches in Europe and the US, while continuing to develop applications across both sectors. Elea & Lili aims to lead the broader shift toward sustainable materials driven by regulatory changes and increasing demand for lower-impact industrial solutions.

Hygiene and agriculture are equally strategic entry points for us. In both markets, absorbent materials are mission-critical components – and today they are fossil-based. We are replacing them with a scalable biomaterial, said Tatu Miettinen, CEO and co-founder.

About Elea & Lili

Elea & Lili is commercializing Cellulose Super Absorbent (CSA), a next-generation material platform that replaces fossil-based polymers with sustainable, biodegradable cellulose chemistry. Focused on hygiene and agriculture, Elea & Lili is creating a new category of superabsorbent materials, enabling high performance while reducing environmental impact and supporting circular low-impact production.

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