London-based
biomaterials company Shellworks has raised $15 million in a Series A funding
round led by Paris-based impact investment fund alter equity. The round also
included participation from Nat Friedman (NFDG) and JamJar, founded by the
creators of Innocent Drinks, alongside existing investors Founder Collective,
LocalGlobe and Third Sphere.
Founded
in 2019, Shellworks develops and manufactures Vivomer, a bio-based material
designed as a sustainable alternative to conventional plastics. Its technology
aims to deliver environmentally friendly packaging that remains
cost-competitive and functional at scale, enabling brands to transition away
from traditional plastics.
The
funding comes as Shellworks reaches a milestone in cost competitiveness,
demonstrating that its material can match the cost of conventional materials
such as aluminium and glass despite operating at a smaller production scale of
around five million units.
The development addresses a key barrier to wider
adoption and positions the company to support brands seeking alternatives to
petroleum-based packaging.
Insiya Jafferjee, CEO and co-founder of Shellworks, said sustainable materials have
long been viewed as too costly for widespread adoption.
We’re
proving that’s no longer true. At just a fraction of plastic’s scale, we’re
already cost-competitive with alternatives like glass and aluminum. As we scale
further, we’ll only get more competitive.
Vivomer
is produced by fermenting second-generation feedstocks, such as used cooking oil, with microbes and is designed to function like conventional plastic during use
while biodegrading after disposal.
The
new capital will support Shellworks’ expansion into the United States and the
European Union, with a focus on the growing wellness sector.
As
part of this strategy, the company plans to establish regional production
capabilities to reduce carbon footprints and strengthen supply chain
resilience, while developing a global production network focused on
technologies such as blow moulding, with facilities planned across the UK,
Europe and the US.