Vaperma Inc., a Quebec City-based provider of gas separation solutions aimed at reducing energy costs and carbon footprint, has raised Cnd$21.5 million in second-round funding. Low Carbon Accelerator Ltd. led the deal, and was joined by return backers Emerald Technology Ventures, BDC Capital and Fonds d'investissement en developpement durable.
Vaperma Inc., a leading provider of advanced gas separation solutions aimed at reducing energy costs and carbon footprint, today announced it has received Can$ 21.5 million in a second financing round. The funding is led by Low Carbon Accelerator Limited (LCA), a Guernsey-based investment company created to invest in a portfolio of fast-growing low carbon businesses, with participation by Volvo Technology Transfer Corporation (Volvo) and all institutional Vaperma investors – Emerald Technology Ventures, BDC Capital and Fonds d'investissement en developpement durable (FIDD).
The company will use proceeds from this financing to commercialize its Siftek(TM) membrane-based ethanol/alcohol dewatering system, to expand all corporate operations and to accelerate the growth of its membrane business.
“Addition of LCA and Volvo to our existing investors completes our exceptional experienced investment group and further validate our commitment to become a reliable long term technology provider in the biofuels, biogas and natural gas markets,” said Claude Letourneau, President & CEO of Vaperma. “Combined with the excellent market perspective in fuel ethanol and natural gas, our company is now ready to aggressively expand its sales and marketing activities worldwide.”
Vaperma has developed a breakthrough solution to remove water from ethanol blends by entirely replacing rectification column and/or dehydration unit such as molecular sieve and extractive distillation. Conventional ethanol/alcohol distilleries are known to consume huge amounts of steam. Vaperma's Siftek(TM) system is being tested successfully for over a year in an operating corn-based ethanol plant in
Dr. Stephen Mahon, Chief Investment Officer at Low Carbon Initiative said: “The success of this financing is a testament to the quality of the management team and the exceptional market opportunities that exists in the biofuels and natural gas markets. This investment represents an important addition to our clean energy portfolio.” As per the terms of investment with LCA, Dr. Mahon will be joining the board of Vaperma.
Vaperma is a Canadian company specializing in the development, manufacturing and commercialization of a new hollow fiber polymeric Siftek(TM) membrane allowing high selective separation of water from various gas mixtures and organic vapors. Vaperma membranes are heat and solvent resistant. Membrane technology offers an alternative to conventional alcohol distilleries processes for the dewatering and dehydration of fuel ethanol. Vaperma Siftek(TM) technology provides enhanced value to its customers' products through higher performance and economic returns. Vaperma's growth strategy is to focus on continuously improving its membrane separation technologies to meet the broadest needs of its customers.
About Low Carbon Accelerator
Low Carbon Accelerator Limited is a closed ended investment company created to invest in a portfolio of fast-growing low carbon businesses. The Company listed on the AIM Market of the London Stock Exchange on 11 October 2006, raising (pnds stlg)44.5 million.
The Company's investment strategy is to target trading businesses with patentable technologies and products with a clear commercial application and the opportunity to gain a large market share of a new or expanding market. The Company focuses on businesses with experienced management teams who have developed commercially viable products providing easily adoptable solutions which deliver immediate reductions in carbon dioxide emissions.
Low Carbon Investors Limited, the Company's investment manager, anticipates that the Company should be fully invested (or committed to be invested) within 12 to 15 months of the Company's admission to AIM.
About Volvo Technology Transfer
Volvo Technology Transfer Corporation (VTT) shall create value for the Volvo AB shareholder by developing and supporting new businesses with relevance for the Volvo group. VTT has three main tasks:
– To bring the Volvo group closer to new technologies or new services by
investing in companies and projects of technical and commercial
– To support the development of businesses based on Volvo technology with
a business potential outside the Volvo group. Thereby can businesses
develop in new environments and the development cost can be shared with
new external customers.
– To support the development of entrepreneurship and innovation within
the Volvo group.