Berlin-based startup Level Nine has raised €4 million in seed funding to scale a catalyst platform designed to convert biomass and waste into industrial chemicals that would otherwise be derived from fossil feedstocks. The company says the new capital will support the development of industrial-scale systems and help prepare a kilotonne-scale first-of-a-kind demonstration plant, moving its technology closer to commercial deployment.

The raise is significant because it sits within one of the more difficult parts of industrial decarbonisation. While clean electricity has advanced rapidly, the chemicals sector remains deeply tied to fossil-based raw materials and energy-intensive conversion processes. Replacing those inputs requires not only lower-carbon feedstocks but also new process technologies that can operate efficiently, economically, and within existing industrial systems. Level Nine is trying to position itself at that intersection.

 

Catalysts and AI at the Core of the Platform

 

Founded in 2023 by Seadna Quigley and Dr. Emily Sheridan, Level Nine is developing nanozyme-based catalysts that aim to convert complex biomass streams and waste materials into usable chemical building blocks. The company says it is combining that chemistry capability with an AI-driven catalyst discovery platform intended to identify and optimise catalytic systems more quickly and improve conversion yields.

That combination matters because one of the biggest barriers to bio-based chemicals has been the challenge of processing irregular, mixed, or lower-value feedstocks at industrial scale without excessive cost or energy demand. Agricultural residues and industrial byproducts may be widely available, but making them a reliable substitute for fossil-derived inputs depends on whether conversion technologies can deliver consistent, high-yield output in commercially realistic conditions.

Level Nine’s proposition is that its platform can reduce those barriers by producing drop-in chemical intermediates with lower energy requirements than conventional methods and with compatibility for existing manufacturing infrastructure. If that claim holds at scale, it would improve the commercial case for switching part of the chemicals value chain away from petroleum-based feedstocks.

 

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A Polyurethane Entry Point Gives the Company a Defined Market Focus

 

The company says its first product is aimed at a key building block for the global polyurethane market, which it values at €100 billion. That is a strategically important choice. Polyurethane is used across automotive components, insulation, furniture, and consumer goods, which means even a partial substitution of fossil-derived inputs could have wide industrial relevance.

Entering through a specific and established chemical market is more commercially credible than trying to position the platform as a broad, undefined bio-based alternative. It gives Level Nine a clearer demand case and a more practical route to customer engagement and offtake discussions. The company has said the new funding will help support preparation for its demonstration plant as well as first customer offtakes, suggesting it is now trying to move from laboratory validation toward early market traction.

 

Why This Matters for Europe’s Industrial Strategy

 

The funding round also reflects a wider strategic theme in Europe’s industrial transition. As the region seeks to reduce dependence on imported fossil feedstocks and strengthen domestic manufacturing resilience, technologies that can convert locally available waste or biomass into high-performance chemicals are attracting more attention. Investors backing Level Nine appear to see this not only as a climate opportunity but also as a question of industrial resilience and feedstock sovereignty.

That framing is important because chemical production is not easy to decarbonise through electrification alone. Feedstock substitution, process redesign, and smarter catalysis are all likely to be necessary if Europe wants to reduce the fossil intensity of its chemicals base while maintaining industrial competitiveness. In that context, startups like Level Nine are trying to develop enabling technologies rather than end-use climate products, which can make them less visible but potentially more systemically important.

 

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What the Funding Signals

 

The round was led by Visionaries Tomorrow, with participation from existing investors Zero Carbon and Rockstart, alongside IBB Ventures and better ventures. For an early-stage industrial technology company, backing at this stage suggests investors see enough technical and market promise to support the expensive transition from lab-scale development to pilot and demonstration infrastructure.

That transition is often where climate-focused chemical technologies face their hardest test. Scientific promise alone is not enough. Companies need to prove that performance survives scale-up, that feedstock supply chains are manageable, and that industrial customers are willing to integrate new inputs into existing production systems. The demonstration plant will therefore be a critical next step, not only for validating the technology but for establishing whether Level Nine can operate as a credible industrial platform rather than only a research-led startup.

 

A Broader Signal for Green Chemicals

 

The Level Nine raise reflects growing interest in climate technologies that address industrial feedstocks rather than only energy generation or transport. Green chemicals remain a smaller and more technically challenging segment than renewables or batteries, but they are increasingly important because they affect emissions embedded in materials, manufacturing, and everyday products.

If Level Nine can show that biomass and waste can be converted into valuable chemical building blocks with strong economics and industrial compatibility, it could contribute to a larger rethinking of how Europe sources and processes chemical inputs. For now, the funding round is an early but important sign that investors are willing to support that possibility, provided the path to scale becomes clearer.

 

Source: https://www.eib.org/en/press/all