Estonian climate tech startup eAgronom, which aims to help farmers adopt sustainable practices for the health of their soils and the planet, has secured €10 million in a series A2 equity round to scale its sustainable farming programs, as the startup told Vestbee. The investment came from Swedbank AB, Icos Capital, Soulmates Ventures, and SmartCap Green Fund.
- eAgronom, founded in 2016 by Robin Saluoks and Kristjan Luha, is a climate tech company that helps farmers adopt sustainable practices through real-time monitoring programs and educational outreach. It focuses on soil health and carbon offsetting, subsidized by farms. eAgronom works with independent farmers and major agricultural conglomerates to implement crop monitoring, automated reporting, and farm activity schedules.
- Headquartered in Tallinn, eAgronom offers a Carbon Program that leverages soil's ability to sequester carbon, which is second only to oceans. The program follows strict guidelines from Verra's greenhouse gas crediting program.
- Since its inception, eAgronom claims that 3,000 farmers have joined its platform, covering around 1.7 million hectares in 14 countries across Europe and Africa. Additionally, the startup has partnered with several notable firms, including Agrosem, AgriCarbon, South Pole, LHV, Dojus Group, and Pfeifer & Langen.
Details of the deal
- The funding round includes €4.2 million raised during a booster round last year, converted into equity, and an additional €5.8 million raised this year.
- The round was led by Swedbank AB, a Stockholm-based Nordic-Baltic banking group that provides retail banking, asset management, and financial services with a strong presence in Estonia, Latvia, and Lithuania. Moreover, the bank offers favorable financing terms to Baltic agricultural customers who meet the criteria for eAgronom's sustainable loan certificate, which is based on the EU taxonomy proposal.
“Enabling our customers in their transition with products and services is key for Swedbank. The partnership with eAgronom adds to a fantastic overall solution for our agricultural customers in Estonia, Latvia, and Lithuania. With this investment, we advance our commitment in eAgronom to strengthen the ecosystem of partnerships for the benefit of our customers,” Head of Baltic Banking at Swedbank, Jon Lidefelt, stated in a press release.
- The investment also saw participation from Rotterdam-based VC Icos Capital, Soulmates Ventures, a Prague-based venture capital firm, and SmartCap Green Fund.
- The raised funds will enhance eAgronom's market presence and expand its involvement in sustainable farming programs, particularly Scope 3 and sustainable financing. Additionally, the startup plans to secure an additional €2-4 million later this year.
“The average farmer has only 40 harvests to experiment with throughout their entire career. This makes the farming sector extremely conservative. If something is more or less working, then it makes sense to continue with it. eAgronom’s sustainability programs—food value chain/scope 3, offsetting, sustainable finance, and others—help to reduce the risk for farmers by providing extra incentives and education. The ongoing funding round will help us to scale these initiatives to many more farmers.” Co-founder and CEO of eAgronom, Robin Saluoks, commented in a statement.
