Uluu secures multi-million funding to scale seaweed-based bioplastic

Uluu, an Australian-based start-up, has secured AU$16 million (US$10.4 million) in funding to build a plant to scale its technology, which converts seaweed into a bio-based plastic.

The material is recyclable, home compostable, and marine biodegradable. In addition, its bio-based solution is lightweight, strong, waterproof, and non-toxic, according to Uluu. It has applications in packaging, cosmetics, fashion, and automotive industries.

Michael Kingsbury, co-founder and CEO at Uluu, says: “After four years’ work developing this technology, including two years’ running our pilot plant, we’re excited to take this next step and start delivering meaningful volumes of our materials to customers.”

“The demonstration plant is a critical step in showing Uluu can scale to compete with and replace fossil plastics truly.”

According to the company, Uluu’s material performs like conventional plastic and can be processed using existing plastic manufacturing. 

Uluu uses naturally farmed seaweed to make pellets that can be turned into any form of plastic. Its seaweed farms offset more carbon than they emit and clean pollutants from the ocean, making them carbon negative.

Global investment 

The funding round was led by Burda Principal Investment (BPI), a Germany-based growth investor, and was supported by Main Sequence, Novel Investments, and Startmate. 

Christian Teichmann, CEO of Burda Principal Investments, says: “At BPI, we invest in companies driving transformative innovation with the potential to become a global category leader.”

“Having first invested in Uluu in 2023, we’re excited to deepen our partnership further as the company scales its pioneering technology. Uluu is redefining how materials can be produced more sustainably at an industrial scale.”

Seaweed potential

Due to the funding, Uluu will scale its 100 kg a year facility to a ten metric ton a year demonstration plant in Western Australia.  Once produced on a commercial scale, Uluu predicts its material will avoid 5 kg of CO2 equivalent for every 1 kg of material produced.

Dr. Julia Reisser, Uluu co-founder and CEO, adds: “Seaweed grows quickly and gets everything it needs from the sun and the sea. It locks away CO2 and helps clean up pollutants from the ocean.”

“By harnessing seaweed, Uluu is producing materials that have a positive, rather than negative, impact on the environment, while ending plastic pollution.”

The company says its technology could reduce global CO2 emissions by more than two gigatonnes per year.