eAgronom, a climate tech company focused on revolutionizing agriculture through sustainable practices, has successfully secured €10 million in its Series A2 equity round. This funding round includes €4.2 million raised during a booster round last year, now converted into equity, plus an additional €5.8 million raised this year. Leading the round with a €4 million investment is Swedbank AB.
In addition to the new lead investor, previous investors from eAgronom’s 2023 convertible round – Icos Capital, Soulmates Ventures, and SmartCap Green Fund – have increased their stakes to support the company’s ambitious growth plans. The fresh funds will be used to expand eAgronom’s footprint in key markets and scale various sustainable farming programs, particularly Scope 3 and sustainable financing initiatives. As part of its ongoing fundraising efforts, eAgronom plans to raise an additional €2-4 million later this year.
Promoting sustainable agricultural practices is central to eAgronom’s mission. Food production accounts for approximately 31% of total greenhouse gas emissions, with 70% of these emissions originating at the farm level. By 2050, the global population is projected to reach 9.3 billion, necessitating a 60% increase in food production. Farmers are thus crucial to reducing emissions. eAgronom aims to significantly reduce the agricultural carbon footprint by leveraging carbon insetting and regenerative farming practices while providing financial incentives and education for farmers.
Previous funding rounds have allowed eAgronom to initiate field trials and seminars with partner farmers to determine best practices for different regions based on specific climate and soil conditions. The current funding will enable eAgronom to onboard more farmers capable of storing carbon in the soil, launch its Carbon Program to sell carbon credits, offer additional revenue streams for farmers, and enhance practice verification capabilities.
Robin Saluoks, co-founder and CEO of eAgronom, highlighted the conservative nature of the farming sector, where the average farmer has only 40 harvests to experiment with throughout their career. “If something is more or less working then it makes sense to continue with it,” Saluoks said. “eAgronom’s sustainability programs – food value chain/scope 3, offsetting, sustainable finance, and others – help to reduce the risk for farmers by providing extra incentives and education. The ongoing funding round will help us to scale these initiatives to many more farmers.”
eAgronom’s Carbon Program relies on the efficient carbon sequestering capabilities of soil, which is second only to the world’s oceans as a natural carbon sink. The program adheres to the strict principles and methodology of the greenhouse gas crediting program Verra. Through cooperation with Swedbank, Baltic agricultural customers can access favorable financing terms if they meet the criteria for eAgronom’s sustainable loan certificate based on the EU Taxonomy proposal.
Jon Lidefelt, Head of Baltic Banking at Swedbank, emphasized the importance of supporting customers in their transition to sustainable practices. “The partnership with eAgronom adds to a fantastic overall solution for our agricultural customers in Estonia, Latvia, and Lithuania. With this investment, we advance our commitment to eAgronom and strengthen the ecosystem of partnerships for the benefit of our customers.”
Founded in 2016, eAgronom now collaborates with over 3,000 farmers across 14 countries. Partner farms in Europe and Africa have already stored 525,000 tCO2 annually, equivalent to the annual carbon emissions of 100,000 people. The company is on track to reach its target of 4.1 million hectares by 2025, solidifying its role as a leader in sustainable agriculture.
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