Tallinn-based GreenTech startup RAIKU has secured €8.8 million in funding from the EIC Accelerator and the private sector for its mission of reducing Europe’s packaging carbon footprint.
RAIKU is focused on developing and producing eco-friendly packaging materials. Founded in 2021 by Karl Pärtel and Rain Randsberg, it has created an innovative packaging filling material, similar to wooden springs, that enhances resource efficiency.
Its resource efficiency is remarkable; the volume of raw material can be amplified 15–20 times without the need for chemicals and with minimal water and energy consumption. The spring structure, seemingly simple, is an ideal solution for shock absorption. The result is packaging that is both environmentally friendly and efficient.
The EIC Accelerator, known for its stringent selection process, has acknowledged RAIKU as a pivotal player in the quest to reduce Europe’s packaging carbon footprint. What’s important, the upcoming partnership with the EIC Accelerator goes beyond financial support. RAIKU will actively participate in various events and trade fairs, offering a host of promising business opportunities in the years to come.
“Given the current economic climate, this kind of financing is ideal for us,” RAIKU writes in its blog. Prior to EIC investment, RAIKU had already secured €1,2M in a pre-seed funding round backed by Kaamos, Vestman, Little Green Fund and many private investors from Estonia and Finland.
With the new investment, RAIKU will be able to fully develop a chemical-free and compostable packaging material, build its first factory and expand production on a larger scale. The primary production is currently geared mainly for export across Europe, with dozens of international companies in the queue.