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As a launchpad for new ideas, Estonia is also a great place to scale them thanks to its proximity to some of Europe’s most important and innovative markets. This week, Estonian DeepTech company UP Catalyst has partnered with Finnish paint giant Teknos to transform industrial CO₂ emissions into high-quality carbon materials for paints and coatings.
UP Catalyst has developed technology that converts carbon dioxide – typically released as industrial waste – into valuable carbon products, including graphite, carbon black, and carbon nanotubes. These materials are essential ingredients in everything from electric vehicle batteries to the paints that protect and colour our buildings.
The partnership, formalised through a Memorandum of Understanding signed in August 2025, focuses on replacing traditional fossil-based carbon black with CO₂-derived alternatives in both powder coatings and wet paints.
Image: On the left Rait Maasikas, CFO at UP Catalyst, in the middle Pasi Virtanen, Head of Innovation at Teknos Group Oy and on the right Karl-Gustav Tamberg, Head of Sales at UP Catalyst.
Traditional carbon black production relies heavily on fossil fuels, contributing to carbon emissions. By using CO₂ as a raw material instead, this collaboration creates a circular economy where one industry’s waste becomes another’s valuable input.
“This cooperation not only advances our shared environmental goals but also showcases the scalability and versatility of CO₂-based carbon materials,” explains Rait Maasikas, CFO of UP Catalyst. This follows their initial scale-up locally: in 2024, UP Catalyst opened a new production facility in Estonia and has secured significant backing with €6.4M in equity, €8M in grants, and an €18M venture debt loan from the European Investment Bank.
For Teknos, a family-owned Finnish company operating across 20+ countries since 1948, this partnership aligns with theirmission, “We make the world last longer.” The company serves manufacturing industries, building professionals, and consumers with their coating solutions.
“We constantly search for and test new sustainable raw material alternatives,” says Pasi Virtanen, Head of Innovation at Teknos Group. “By using sustainable materials, we help both Teknos and our customers reduce emissions.”
