5 Startups Working on Bio-based Chemicals and Renewable Feedstock
Petroleum-based feedstocks used predominantly in the chemical industry involve environmentally detrimental and unsustainable processes in the long run. These conventional methods contribute to pollution and a carbon footprint. The availability of these chemicals also depends on finite resources subject to market volatility and geopolitical tensions.
The growing environmental concerns and the global push towards sustainability highlighted an urgent need for more sustainable solutions.
This shift has led to the development of bio-based chemicals and renewable feedstocks. Bio-based chemicals are derived from biological sources and offer a renewable and often less toxic alternative to their petroleum-based counterparts.
Renewable feedstocks, such as plant-based oils, sugars, and biomass, help reduce dependency on oil and significantly lower greenhouse gas emissions during production.
Adopting bio-based chemicals and renewable feedstocks presents numerous advantages over traditional materials, including reduced environmental impact, enhanced biodegradability, and the potential for creating a circular economy. These materials provide more sustainable, efficient, and cost-effective solutions.
This article highlights five growth-stage bio-based chemicals and renewable feedstock startups dedicated to promoting sustainability in the chemical industry. These startups have the potential to grow rapidly, are in a good market position, or can introduce game-changing technology to the market in the next 2-3 years.
This makes them a great option to partner, collaborate, or acquire.
1. Cascade Biocatalysts Enhancing Bio-chemical Production with its “Body Armor” for Enzymes
| Founding Year | 2020 |
| Headquarters | Denver, Colorado, US |
| Total Funding Amount | $2.6 Million |
| Last Funding Round/Amount | Pre-seed/ $2.6 Million |
| Website | https://www.cascadebiocatalysts.com/ |
The chemicals industry, integral to producing materials for 96% of manufactured goods, faces significant environmental challenges. Reliance on nonrenewable petroleum-based feedstocks and energy-intensive processes produces approximately 6% of global greenhouse gas emissions.
The industry’s dependency on these unsustainable resources depletes finite reserves and contributes significantly to climate change. Moreover, the high cost and inefficiency of traditional chemical manufacturing methods impede the shift toward greener alternatives.
Cascade Biocatalysts developed a breakthrough in bio-chemical technology, Body Armor for Enzymes™, to address the sustainability and cost challenges of the chemical industry.
This proprietary technology enhances the stability and longevity of enzymes used in chemical production, ensuring they remain active under harsh industrial conditions. The technology has been applied to 15 different enzymes with a 100% success rate, enhancing their performance in various applications, including the degradation of plastics and the production of specialty chemicals.
This innovation makes the industrial use of enzymes more affordable and facilitates a shift to more sustainable chemical manufacturing processes.
The co-founder and CSO James Weltz invented the technology during his Ph.D. studies on enzyme immobilization. Currently, the technology is on TRL 5 with a Functional prototype.
Co-founder and CEO Alex Rosay is leading this startup. His work experience includes the role of Senior Product Manager at Zymergen and Senior Associate Consultant at Bain & Company.
Alex is a graduate with a B.S. in Chemical Engineering from Stanford University.
In its last pre-seed funding round on August 22, 2023, Cascade Biocatalysts raised an oversubscribed $2.6 Million. Among the six investors who participated in this round, 10vc led this round.
2. Origin by ocean Cleaning Harmful Ocean Algae to Make Bio-chemicals
| Founding Year | 2019 |
| Headquarters | Espoo, Finland |
| Total Funding Amount | €9.5 Million |
| Last Funding Round/Amount | Seed/€3 Million |
| Website | https://www.originbyocean.com/ |
Accumulation of harmful algae in marine environments leads to ecological imbalances and negatively impacts marine life and water quality. This overgrowth disrupts ecosystems, produces toxins, and depletes oxygen levels, posing a threat to marine and human life.
Origin by Ocean has developed a patented biorefining process that harnesses the potential of invasive algae and ecologically farmed seaweed.
It converts these marine biomass sources into valuable bio-based chemicals. This biorefinery technology transforms algae into a range of chemical ingredients and offers a sustainable and eco-friendly alternative to conventional raw materials derived from non-renewable sources. It is on TRL 5 with a Functional prototype.
The startup creates products and ingredients for various industries, including food, cosmetics, agriculture, textiles, packaging & materials.
Mari Granström is the CEO of this startup, leading it with her extensive industry experience. She founded Ocean Orchard Oy and Served as BDM of AVA Biochem AG.
Mari also served as Product R&D Director (Stora Enso) and Research Scientist (BASF).
Origin by Ocean secured seed funding of €7.5 Million on Apr 26, 2023, including €3 million from a seed funding round and a €4.5 million loan from Business Finland. Voima Ventures led the seed funding round.
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3. B’ZEOS Making Bio-Packing Solutions and Plastics from Seawood
| Founding Year | 2017 |
| Headquarters | Oslo, Norway |
| Total Funding Amount | Undisclosed |
| Last Funding Round/Amount | Non-equity Assistance/- |
| Website | https://www.bzeos.com/ |
275 million tonnes of plastic are generated annually, and the recycling rate is dismal. This escalating crisis needs sustainable alternatives. Traditional plastic, primarily derived from fossil fuels, contributes significantly to landfill overflow and environmental degradation.
B’ZEOS developed innovative, eco-friendly packaging solutions derived from seaweed to overcome the challenges of plastic pollution. The startup products include bio-based and fully home-compostable single-use packaging materials like flexible films, paper coatings, thermoformable materials, and injection-molded products.
These products are solving challenges for the food and beverage industry, electronics, and pharmaceuticals. Using seaweed taps into a sustainable, underutilized renewable feedstock and ensures that the packaging is biodegradable and home-compostable. The technology is currently at TRL 6-7 with a Minimum viable product.
Co-founder and CEO Guy Maurice is leading this startup. He has experience as a GIS Consultant in the World Health Organization.
Guy also served as a data scientist and GIS analyst at ISURVEY AS and a senior GIS engineer at Statoil.
B’Zeos raised a non-equity assistance funding round led by MassChallenge Switzerland on May 17, 2021.
Related Read: Chemical Recycling Startups Converting Wastes Into Useful Materials
4. COnovate’s eCOPHITE Is The New Bio-renewable Anode for Lithium Batteries
| Founding Year | 2016 |
| Headquarters | Milwaukee, Wisconsin, US |
| Total Funding Amount | $1.3 Million |
| Last Funding Round/Amount | Grant/$100K |
| Website | https://conovateinc.com/ |
The lithium-ion battery sector faces limitations of current anode materials, such as slow charge times, limited capacity, and safety concerns. There is also a pressing need to decrease dependence on critical minerals from geopolitically unstable regions.
To tackle these challenges, COnovate has developed eCOPHITE™, a solid form of carbon monoxide nanomaterial. This advanced material serves as a bio-renewable anode in lithium-ion batteries.
Unlike traditional graphite anodes, eCOPHITE™ is derived from bio-sourced materials for a more sustainable and secure supply chain.
Its properties allow for faster charging, increased battery capacity, and enhanced safety. The technology seamlessly integrates with existing battery manufacturing processes. It is on the Experimental Proof of Concpet (TRL 3-4) level.
Carol Hirschmugl is the founder and CEO of this startup. She holds a Ph.D. in physics from Yale University and was a professor at the University of Wisconsin-Milwaukee for 24 years.
During this time, she co-founded SafeLi LLC (now COnovate) and the foundational patent for startup technology.
COnovate received a $100K grant from SBIR Advance on December 25, 2022, as its latest funding. The National Science Foundation and Milwaukee Venture Partners are among the startup’s lead investors.
5. Zymochem Carbon Conserving (C2) Microbes Platform Creating Bio-chemicals for Everyday Product Industries
| Founding Year | 2013 |
| Headquarters | San Leandro, California, US |
| Total Funding Amount | $29.6 Million |
| Last Funding Round/Amount | Series A/$21 Million |
| Website | https://www.zymochem.com/ |
The industrial sector faces a critical challenge: reducing its carbon footprint while producing high-value materials efficiently. Traditional manufacturing processes are often carbon-intensive, relying on non-renewable resources and emitting significant amounts of CO2.
The demand for environmentally friendly alternatives is growing, especially in hygiene products. Consumers and brands seek more sustainable, biodegradable options without compromising performance or affordability.
Zymochem is using its proprietary Carbon Conserving (C2) microbes to solve these industrial challenges. These microbes are engineered to convert renewable feedstocks into high-value materials while ensuring near-zero CO2 emissions during fermentation.
One of the flagship products of this technology is Bio-SAP (Super Absorbent Polymer), a fully biodegradable and high-performance material designed to replace traditional superabsorbent polymers used in the global hygiene industry.
The startup also develops bio-based chemicals, plastics, coatings, elastomers, adhesives, and textile products.
Founder and CEO Harshal Chokhawala has led this startup since its inception. Previously, he was a Research Scholar at the Energy Biosciences Institute at the University of California, Berkeley.
Harshal holds a PhD in Chemical and Enzymatic Synthesis from the University of California, Davis.
Zymochem’s latest Series A funding round, held on Jan 16, 2024, raised $21 Million. Breakout Ventures led the round, which included 14 other investors.
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Authored By: Naveen Kumar, Market Research
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