Järvenpää-based Fiberwood has raised €7.7 million to further develop its eco-friendly building insulation and packaging materials. The funding round was backed by Metsä Spring and Stephen Industries, along with public financiers. The startup aims to enter its commercial phase and expand globally.
- Founded in 2019 by Tage Johansson, Fiberwood develops foam technology for eco-friendly construction and packaging materials. The startup offers recyclable and biodegradable substitutes for plastic-based insulation, rock and glass wool, and packaging cushioning.
- In 2023, Fiberwood secured €3 million in funding from Metsä Spring, Stephen Industries, and public financing from Business Finland. The investment was used for further development work.
Details of the deal
- The investment was backed by existing investors, including Espoo-based VC Metsä Spring, which invests in startups focusing on Nordic wood and replacing fossil-based materials, and Stephen Industries, a Helsinki investment management company that funds companies focusing on healthtech, deeptech, and greentech solutions. Public financiers also participated in the round.
“With the funding, Fiberwood will set up a demo production line to finalize its product concept, ensure industrial scalability, and accelerate its R&D activities. The demo production line will enable the manufacturing of fully market-compatible products for customers' projects,” Metsä Spring’s team commented on LinkedIn.
- With the fresh capital, Fiberwood aims to build a test line to finalize its product concept, ensure industrial scalability, and accelerate R&D activities for commercial projects.
“The funding round strengthens Fiberwood’s position as a pioneer in materials technology. We’re setting the foundation for a future production line, minimizing risks from the outset. Our investment in process technology distinguishes us, enhances our competitive position, and contributes to developing Finnish forestry and materials technology know-how,” Founder at Fiberwood, Tage Johansson, stated.
