#Japan #Kyoto #Membrane Technology #HIRAC FUND #ESEP

HIRAC FUND's Bold Investment in ESEP: A Step Towards Carbon Neutrality

In a significant move towards achieving carbon neutrality by 2050, HIRAC FUND, operated by Money Forward Ventures, has announced its investment in ESEP (株式会社イーセップ), a startup specializing in the development of ceramic separation membranes. With growing urgency to combat climate change, this initiative seeks to address the pressing need for decarbonization across the chemical industry, which contributes approximately 15.4% of Japan’s CO2 emissions despite existing reductions.

The Need for Change in the Chemical Industry

The chemical industry faces challenges largely due to the energy consumption of massive distillation equipment used for separating chemical substances. This reliance on energy-intensive processes highlights the need for innovative solutions that can significantly reduce energy use and increase efficiency.

ESEP aims to revolutionize the crucial separation processes within the chemical sector through its proprietary nano-ceramic membrane technology. By focusing on miniaturization and energy efficiency, ESEP strives towards creating a future where chemical processes can occur in a more sustainable manner, thus contributing to the establishment of a carbon-neutral society.

ESEP’s Innovative Technology

ESEP’s membrane reactor represents a groundbreaking technology that integrates chemical reactions and separations in a single step. This approach enables significant downsizing and onsite chemical processes, making it possible to separate cleaning agents and paints in various manufacturing settings without requiring special environments. The advancements also extend to the recycling of chemical solvents in factories and the efficient production of carbon-neutral methanol from captured CO2 and green hydrogen. This "CN Methanol" not only provides a means to utilize CO2 but also serves as a hydrogen carrier, aiding in the transition towards a hydrogen-based society.

Strategic Investment Rationale

HIRAC FUND has recognized ESEP’s potential based on its capability to consistently produce high-performance nano-ceramic membranes and its achievements in commercial applications, earning substantial praise from numerous chemical companies. The investment not only supports ESEP in its mission but also addresses multiple critical challenges toward achieving carbon neutrality simultaneously.

Moving forward, HIRAC FUND plans to leverage its extensive network to facilitate collaboration with other enterprises, aiding ESEP in scaling its innovations effectively.

About ESEP: Leadership and Vision

CEO Profile: Kenichi Sawamura
After earning a doctorate in engineering specializing in membrane technology from Waseda University, Kenichi Sawamura joined a major engineering firm before founding ESEP in 2013 with the goal of implementing his expertise in nano-porous ceramic membrane technology into real-world applications. As the president, he advocates for fostering open innovation among academia, industry, and government to expedite the practical implementation of sustainable technologies directed towards a carbon-neutral society.

Company Overview

• - Name: ESEP Co., Ltd.
• - CEO: Kenichi Sawamura
• - Business Focus: Development of nano-ceramic separation membrane technology and related systems
• - Founded: January 2013
• - Headquarters: KICK, 1-5-1 Seika Dai 7 Chome, Seika, Soraku, Kyoto
• - Website: ESEP Website

Insights from ESEP on the Investment

Kenichi Sawamura expressed gratitude towards HIRAC FUND for valuing the societal significance of ESEP’s work. He noted that guidance received during the investment assessment allowed the company to focus on its strengths while addressing challenges in back-office operations. Looking ahead, ESEP aims to utilize the support from the Money Forward Group to further accelerate the implementation of its technologies that contribute to carbon neutrality.

About HIRAC FUND

HIRAC FUND focuses on investing in seed and early-stage startups that leverage technology to address societal challenges. Utilizing the strengths of the Money Forward Group, including IPO experience, fintech/SaaS insights, and a robust network, HIRAC FUND aims to drive growth and support in the startup ecosystem.

Overview of HIRAC FUND

• - Name: HIRAC FUND 2nd Investment Limited Partnership
• - Total Fund Size: ¥9.08 billion
• - Investment Focus: IT and technology companies, primarily at seed and early stages
• - General Partner: Money Forward Ventures, Inc.
• - Website: HIRAC FUND Website

About Money Forward Ventures

• - Name: Money Forward Ventures, Inc. (100% subsidiary of Money Forward)
• - Location: 21F, Tamachi Station Tower S, 3-1-21 Shibaura, Minato, Tokyo
• - CEO: Naoya Kanasaka
• - Business Focus: Fund management and operations
• - Established: May 25, 2020
• - Website: Money Forward Ventures

With this investment, HIRAC FUND not only positions itself at the forefront of innovation in the pursuit of carbon neutrality but also supports ESEP’s journey toward making a monumental impact in the chemical industry and beyond.