Swedish greentech startup Lignin Industries has raised €3.9 million in a fresh funding round to advance its commercialisation and scale its eco-friendly thermoplastic alternative.
The round was led by the Carrick family—who also founded the company—and supported by more than 20 investors across sectors. New backers accounted for over 40% of the capital raised.
The company is known for turning lignin, an abundant polymer found in plants and a byproduct of the forestry industry, into bio-based thermoplastics through a patented process. These renewable materials are designed to replace fossil-based plastics in applications like polyethylene films, propylene moulds, and ABS plastics.
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From stealth mode to commercial partnerships
Founded in 2018 by Dr. Christopher Carrick, the company emerged from stealth in 2024 and has since gained momentum through multiple commercial partnerships. Its flagship product, Renol, is being adopted by industry players for use in electronics, construction, and consumer goods.
Lignin Industries recently partnered with UK-based distributor Hellyar Plastics and is working with clients across several industries. The company also reports early traction with major manufacturers and is in advanced partnership talks with multiple category leaders.
A circular plastics model with real-world traction
The startup’s Knivsta-based production facility supports ongoing R&D efforts. CEO Fredrik Malmfors confirmed that the company is seeing “repeat orders” and “commercial cut-through” as it scales. Its e-commerce bags, made from a lignin-recycled plastic blend, are already in use by fashion brands, offering a low-CO2 alternative to traditional plastic packaging.
With its latest funding, Lignin Industries plans to further develop its Renol product line, expand R&D, and bring additional solutions to market to help decarbonise plastics manufacturing.
