bound4blue raises USD 24 million in latest funding round for wind propulsion system

bound4blue, a developer of automated wind-assisted propulsion systems for the maritime transport based in Spain, on Thursday (7 September) said it has secured a EUR 15.9 million (USD 24 million) Series A funding round led by GTT Strategic Ventures.

The funds raised will be used to help the company roll out its pioneering suction sail system (eSAIL), as well as scale up to meet demand for zero-emission propulsion solutions in shipping. With this funding, the company will achieve its next milestones, securing a leading position in the wind-assisted propulsion sector globally and facilitating strategic advancements that encompass expanding the company’s production capabilities and strengthening its human resources.

The round was participated by the EIC Fund (European Innovation Council), Shift4Good, Louis Dreyfus Company Ventures, the Sustainable Ocean Alliance, Sun Returns, Kai Capital and existing investors including the Ocean Born Foundation and CDTI (Centre for the Development of Technology and Innovation) through the co-investment initiative of Innvierte programme. 

The new investors join other shareholders of bound4blue including institutional and private Spanish investors. The law firm Ceca Magán has advised bound4blue on this Series A financing round, accompanied by the partner of the M&A area, Miguel Lobón, and his team – Diego Gómez and Borja Pellejero.

This financing is further complemented by a EUR 4.1 million grant from the Innovation Fund Program, awarded by CINEA (European Climate, Infrastructure, and Environment Executive Agency) in 2022, and an additional grant of €2.4M previously awarded in 2021 by the EIC Accelerator Program, bringing the total financing to €22.4M. The EIC Fund operates within the EIC’s mandate to identify and support high-impact innovations within the EU. Their support for bound4blue reflects a strategic decision to participate in the success of the European shipping decarbonization strategy and builds upon their commitment to the grant component.

Founded in 2014, bound4blue develops wind-assisted propulsion systems (WAPS), allowing ship-owners and ship operators to reduce their fuel consumption, to enable a more sustainable and economically efficient shipping. The technologies designed by bound4blue also help maritime transport adapt to new international regulations.

The system developed by bound4blue, derived from the suction sail designed by Commandant Cousteau in the 1980s, is an easy-to-install solution, requiring minimum maintenance and a payback below five years, on a large number of segments (LNG carriers, bulk carriers, tankers, Ro-Ro, general cargo, ferries and cruises).

José Miguel Bermúdez, CEO of bound4blue, said: “We’re delighted to welcome the new investors onboard. Their wealth of knowledge and expertise in shipping and financing represents a momentous step that will steer our company towards even greater development and global expansion. With their support, we’ll continue steadfast in our mission to drive the decarbonisation of the shipping sector, making wind propulsion a standard on ships.”

Photo credit: bound4blue
Published: 11 September, 2023