Climatetech Funding Alert

Australian startup Uluu raises $13.5m to scale eco-friendly plastics

• ByStartupStory     |    October 30, 2025

Australian climate-tech startup Uluu has successfully raised AUD 16 million (approximately US$13.5 million) in a Series A funding round to scale its pioneering technology that transforms seaweed into a sustainable alternative to conventional plastics. The funding round was led by German growth investor Burda Principal Investments, with additional support from Main Sequence, Novel Investments (a family office of a major textile group), Startmate, Fairground, and Trinity Ventures.

Uluu, founded in 2021 and based in Perth, deploys a cutting-edge carbon-neutral fermentation process that converts farmed seaweed into polyhydroxyalkanoates (PHAs)—biodegradable materials that perform like traditional plastics but break down naturally without releasing microplastics. These materials are strong, lightweight, waterproof, non-toxic, and compatible with existing plastic manufacturing equipment, making them a drop-in replacement for fossil fuel–derived plastics.

With this capital infusion, Uluu plans to build a demonstration plant in Western Australia, scaling up from its pilot facility that produces 100 kilograms per year to a 10-tonne annual capacity. This will enable the company to deliver commercial volumes to customers and accelerate the adoption of its eco-friendly plastics.

Environmentally, Uluu’s production process is climate-positive. It has the potential to sequester and avoid approximately 5 kilograms of CO₂ equivalent for every 1 kilogram of material produced, compared to the 3 kilograms of CO₂ emitted by conventional plastics. The technology could reduce global CO₂ emissions by more than two gigatonnes annually if scaled globally.

Uluu’s innovative approach addresses the pressing global problem of plastic pollution and reliance on fossil fuels, aligning with market demand for sustainable, circular materials. The backing by leading impact and family investors reinforces strong confidence in the startup’s vision and technology.

Co-founder and co-CEO Michael Kingsbury highlighted the milestone, noting that after four years of development and pilot operations, the Series A raise marks a readiness to transition to commercial scale and expand market reach.

This funding positions Uluu to lead the way in replacing fossil-based plastics with renewable, biodegradable alternatives, paving a path for a more sustainable materials industry in Australia and beyond.

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