In a seed round led by Sequoia Capital India and Aavishkaar Capital, with participation from current investors Speciale Invest and Micelio Fund, climate tech startup Newtrace raised $5.65 million. IKP Knowledge Park and Urban Ladder CEO and founder Ashish Goel also took part.
According to a press release from the company, the money raised will be used to expand Newtrace’s electrolyzer manufacturing and deployment capabilities in India.
Green hydrogen production will be more affordable, scalable, and effective thanks to Newtrace. According to the company, its exclusive, patent-pending electrolyzer technology is intended to obtain ultrapure hydrogen while reducing overall production costs by up to 60%.
Newtrace claims to have scaled quickly since its 2021 launch and intends to use its electrolyzers in industries like fertilizers, chemicals, steel and cement, and transportation. The business also intends to broaden its solution by offering technology for the long-term conversion and storage of green hydrogen and ammonia.
An impact fund manager with a focus on the Global South is Aavishkaar Capital. In emerging Asia, Africa, and India, it makes investments in areas with significant social and environmental impacts. AgroStar, Chqbook, Financepeer, MooFarm, Fabelio, and GoBolt are just a few of the companies in its portfolio.
For the first close of its eighth impact fund, the fund raised Rs 1,000 crore ($130 million) in April of last year.
