Helsinki, Finland – January 29th
Paptic Ltd, a pioneer in wood fiber-based packaging materials, has capped off 2023 with a growth financing round, raising EUR 27.5 million from new investors. The latest round, led by the UB Forest Industry Green Growth Fund (UB FIGG) and joined by Emerald Technology Ventures, SIG InnoVentures, and EIC Fund, adds to an earlier EUR 23 million raised.
Originating as a VTT spin-off, Paptic’s journey epitomizes not only its own success but also the remarkable growth of the Finnish startup ecosystem and the burgeoning importance of science-based businesses. Paptic’s early days were significantly shaped by VTT’s initial investment through Voima Ventures Fund I, which played a crucial role in nurturing what was then a fresh concept in sustainable packaging. This investment reflects a broader trend in Finland’s startup scene, characterized by a rapid increase in funding, especially in science-based companies. From 2013 to 2022, VTT’s spin-offs accounted for 8.2% of the capital funding in the Finnish market, highlighting the significant societal impact and potential of these innovative ventures.
The Paptic team
Jussi Sainiemi, Deputy Managing Partner at Voima Ventures, reflects on Paptic’s growth: “During recent years, Paptic has successfully executed its strategy and gained a strong position in the sustainable packaging materials segment. With the support of a new investor base, the company is now well-positioned to accelerate development on a more global scale.”
Paptic’s innovative approach, offering an eco-friendly packaging alternative to traditional plastics, has resonated with a broad investor base, signalling a readiness for sustainable solutions. Paptic is poised for further expansion in the global market.
Jussi Sainiemi Deputy Managing Partner at Voima Ventures
Tuomas Mustonen, CEO of Paptic, acknowledges the role of early backers: “Our journey with Voima Ventures and VTT has been instrumental in reaching this pivotal stage. Their belief in our vision empowered us to redefine sustainable packaging and challenge the status quo.”
Tuomas Mustonen, CEO and Co-founder of Paptic
The latest financing round is a testament to Paptic’s potential in the flexible packaging market. Paptic’s innovative materials meet a growing demand for sustainable packaging options without a green premium.
As Paptic transitions to new investors, it continues its legacy of innovation, inspired by its early support from VTT and nurtured by Voima Ventures Fund I. The company sets a precedent for how scientific innovation can provide answers to pressing environmental concerns.