Bio-based materials startup LignEasy secures €1m investment

EIT InnoEnergy, known for driving innovation in sustainable energy, has committed €1 million to LignEasy, a trailblazer in bio-based materials.

LignEasy focuses on advanced lignin separation technology aimed at reducing carbon emissions within the pulp industry and transitioning away from fossil-based raw materials towards more sustainable, forest-derived alternatives.

This financial boost integrates LignEasy into EIT InnoEnergy’s expanding portfolio, offering critical support for the company's scaleup and the widespread adoption of its eco-friendly solutions in kraft pulp mills. The funding builds on LignEasy’s previous achievement of securing the EIC Accelerator grant, pushing the development of its pilot plant towards a production capacity of 1 ton/day by autumn.

LignEasy’s technology addresses the environmental impact of both the pulping and chemical industries by transforming how lignin – a natural polymer found in wood – is utilised. European kraft pulp mills currently incinerate over 15 million tons of lignin annually for energy. LignEasy’s patented process allows for the extraction of lignin, unlocking its potential for high-value uses such as plywood, construction materials, and bio-based plastics and packaging, all of which offer more sustainable alternatives to fossil-fuel products.

In the context of plastics alone, reaching net zero by 2050 will require a dramatic increase in bioplastics production, from today's 2 million tons to 100-230 million tons annually. LignEasy’s technology is set to be a pivotal contributor to meeting this growing demand for sustainable materials.

Jonas Nordlund, Investment Manager at EIT InnoEnergy Scandinavia, commented: “We believe that LignEasy will play a significant role in decarbonising multiple industries, and we are delighted to welcome them into our portfolio. Their innovative approach to lignin separation not only addresses the significant wastage in kraft pulp mills but also opens up new avenues for sustainable bioproducts, transforming lignin from a waste product into a valuable resource.”

Juho-Matti Karpale, CEO at LignEasy added: “This investment marks a major milestone for our company and one that will help us to scale up our efforts to decarbonise the pulp and chemical industries. There are currently major issues with lignin wastage; a technology gap in achieving separation sustainably; and a pressing need to provide the chemical industry with eco-friendly alternatives to fossil-based raw materials. Our technology delivers solutions to these problems, and with access to EIT InnoEnergy’s ecosystem, we are now better placed than ever before to deliver them to the market.”

Unlike existing lignin separation systems that can cause harmful sulfate discharge to the environment, LignEasy uses a sulfuric-acid-free separation technology and a novel filtration-based purification method. This innovation produces high-value lignin, reduces pulp mill emissions, and provides the chemical industry with a renewable feedstock in the form of an odourless, bio-based raw material available as liquid concentrate or dried powder. The lignin is ready for direct use in several products or possible chemical modification for an even broader range of applications.