The funding round includes participation by GenZero, a Temasek-owned decarbonisation-focused investment platform company, Oxy Low Carbon Ventures (OLCV), a subsidiary of Occidental (Oxy) focused on advancing low-carbon technologies and business solutions, Charter Next Generation (CNG), North America’s leading producer of speciality films, and a global luxury goods manufacturer, as well as other new and existing shareholders.
Newlight has finalised development agreements with CNG to commercialise speciality films using AirCarbon’s decarbonised technology. Additionally, they have partnered with OLCV to utilise direct air capture (DAC) systems for generating carbon dioxide feedstock used in AirCarbon production plants.
Newlight Technologies is a leader in decarbonisation technology using natural microorganisms to convert greenhouse gas into high-performance AirCarbon-based materials. Presently, the company is successfully delivering AirCarbon-based products and materials to more than 5,000 locations worldwide. Their diverse customer base includes industries such as fashion, entertainment, foodservice, hotel, and automotive. This investment will empower Newlight to expand its AirCarbon manufacturing platform, ultimately achieving the company’s vision of utilising greenhouse gases as a valuable resource for producing decarbonised materials on a global scale.
“This capital round represents an inflection point for Newlight, where we have the opportunity to build on 20 years of research, development, and commercialisation, and expand biological decarbonisation at large scale,” said Mark Herrema, CEO of Newlight. “It is an important milestone for Newlight, and we are tremendously excited about the path ahead.”
Newlight uses microorganisms found in California that eat greenhouse gas as their food source to grow a molecule inside of their cells, like muscle, called PHB (polyhydroxybutyrate). PHB is a molecule found in most life on Earth and is used by living organisms as a biological energy and carbon storage vehicle. When purified, PHB becomes meltable and moldable, able to deliver broad-based functionality within the materials market. By weight, AirCarbon is approximately 40% oxygen derived from air and 60% carbon derived from greenhouse gas.
Frederick Teo, CEO of GenZero, said, “Newlight’s work is transformational in leveraging the power of both technology and nature to produce biomaterials. By using captured greenhouse gases such as methane to produce a high-quality material (AirCarbon) and replace fossil-based plastics, we can achieve significant reductions in carbon emissions. We are excited to support Newlight in their next phase of growth as they expand their commercial production to meet the increasing demand for zero-carbon materials and deliver decarbonisation impact at scale.”
“We are excited to work with innovative companies like Newlight who share our vision in decarbonising a multitude of industries that can help accelerate the path to net zero,” said Derek Willis, Vice President, Oxy Low Carbon Ventures. “Direct Air Capture provides a unique opportunity to supply CO2 as a raw material to create low carbon products. We look forward to supporting Newlight as they work to unlock new value from CO2 while addressing climate change.”
Today, AirCarbon is being utilised for product development and manufacturing in various industries, aiming to transform everyday items into a consumer-driven catalyst for carbon reduction. The capital investment in this round will enable Newlight to significantly expand the production of AirCarbon at both its existing California facility as well as a new AirCarbon production facility being built in Ohio.
“Our vision is a world where greenhouse gas is used the way nature uses it–as a resource–and by turning it into high-performance consumer products, we can provide companies with a measurable and scalable path to help them decarbonise their products and move closer to a net-zero world,” said Herrema.