#Sweden #Stockholm #Climate Solutions #Echandia #Maritime Battery

Echandia Secures SEK 220 Million in Funding

Echandia, a prominent player in the maritime battery industry based in Sweden, has announced a successful funding round, raising a substantial SEK 220 million. This significant achievement marks a crucial step forward for the company, enabling it to enhance its operations and meet the increasing demand for maritime battery solutions. The funding was spearheaded by Alantra's Klima energy transition fund, alongside notable contributions from Swedish venture capital firm Industrifonden, SEB Greentech VC, and Japan's EEI.

With the capital raised, Echandia plans to bolster its production capacity both in Sweden and the United States. A notable part of this investment includes the establishment of a new production facility in Washington State, where Echandia will manufacture its advanced maritime battery systems. This move underscores the company's commitment to expand globally and meet the stringent demands of sectors such as ferries and naval applications.

Increasing Demand for Sustainable Solutions

As the maritime industry grapples with the need to reduce greenhouse gas emissions, Echandia is stepping up to address this pressing climate challenge. Shipping accounts for approximately 3% of the global CO₂ emissions, making it essential to adopt innovative solutions for a sustainable future. Echandia’s battery systems are designed to meet the rigorous requirements of heavy-duty applications, enabling hybridization and full-electric propulsion for vessels worldwide.

Since its inception in 2018, Echandia has pioneered the development of cutting-edge battery systems tailored for maritime transport and other challenging applications where safety and reliability are paramount. They have successfully partnered with leading shipyards globally, equipping both new and retrofitted vessels with sustainable technology and enhancing their energy efficiency.

Leadership Insights

Torbjörn Bäck, CEO of Echandia, expressed excitement about this funding milestone, highlighting the company's rapid revenue growth; in 2024, revenues grew fourfold compared to 2023, and projections for 2025 indicate a further tripling. Bäck emphasized that the new capital would accelerate their operational scale-up and position Echandia at the forefront of maritime electrification, providing safe and resilient battery systems to their clients.

In comments on the investment, Manuel Alamillo, a partner at Klima, pointed out the necessity for decarbonizing challenging sectors like shipping and aviation. He stated that this investment isn't only an environmental imperative but also an economic one, as it supports the transition towards cleaner energy solutions in the maritime industry.

Anna Ljungdahl from Industrifonden echoed this sentiment, praising Echandia’s innovative approach to meeting the demanding specifications of industries such as military and defense. She expressed eagerness about collaborating with the team to commercialize their product solutions globally.

About Echandia

Echandia is on a mission to revolutionize maritime electrification for a more sustainable future. Since its establishment, the company has delivered nearly 70 battery systems for electrification initiatives worldwide. Their products are not only designed to improve energy efficiency but are also tailored to significantly reduce environmental impacts associated with maritime operations. Headquartered in Stockholm, Echandia aims to redefine the industry standards in maritime electrification.

Conclusion

With continued support from well-founded investors and a strong sales pipeline, Echandia is poised for exceptional growth in the sustainable maritime sector. Their commitment to innovation and environmental responsibility positions them as a leader in efforts to combat climate change within the shipping industry.