Key Takeaways
- German biotech company BIOWEG closed a €16 million Series A round led by Axeleo Capital, joined by the EIC Fund, NBank Capital, BonVenture, and seed investor Dr.-Ing. Frank Jenner.
- The funding will support construction of BIOWEG’s first industrial-scale bacterial cellulose plant in Germany and accelerate market entry across Europe.
- BIOWEG develops biodegradable alternatives to fossil-based polymers, addressing EU restrictions on intentionally added microplastics.
- The company has raised €22 million to date and operates a pilot production site in Quakenbrück and an applications lab in Monheim.
- Products under development include Micbeads (cosmetics), RheoWeg (personal & home care), and AgriWeg (seed and fertilizer coatings).
BIOWEG Secures Series A Funding
BIOWEG, a German biotechnology company specializing in biodegradable polymer alternatives, announced the closing of a €16 million Series A financing round. The investment was led by Axeleo Capital’s Green Tech Industry Fund, with participation from the EIC Fund, NBank Capital, BonVenture, and early backer Dr.-Ing. Frank Jenner.
The round brings BIOWEG’s total raised capital to €22 million. Proceeds will fund the step-up from pilot to industrial-scale manufacturing, including the construction of a bacterial cellulose production plant in Germany.
From Pilot to Industrial Scale
Founded in 2019 by Dr. Prateek Mahalwar and Srinivas Karuturi, BIOWEG transforms food industry side streams into bacterial cellulose through precision fermentation, refining it with green chemistry into drop-in replacements for fossil-based polymers.
The company currently operates:
- A pilot production facility in Quakenbrück with up to six tonnes capacity.
- A material science and applications lab in Monheim, located within Bayer Crop Science’s campus.
The new plant will be co-located with a major sugar producer in Germany, providing feedstock synergies and lowering operational costs. The design enables scale-up from the current 6,000-litre fermentation capacity to large-volume manufacturing.
Meeting Market Demand for Microplastic-Free Ingredients
BIOWEG’s technology is emerging as the EU enforces restrictions on intentionally added microplastics in cosmetics, home care, pharmaceuticals, and agriculture. Customers require compliant, high-performance alternatives produced at scale within Europe, and BIOWEG’s portfolio is designed to meet this need.
Dr. Prateek Mahalwar, CEO of BIOWEG, stated: “Today’s funding allows us to move decisively into industrial manufacturing and to support customers as they transition away from microplastics. Our focus is on matching and expanding polymer-level performance with bio-based, biodegradable ingredients produced at European scale.”
Investor Perspectives
Marc Lechantre, Partner at Axeleo Capital, commented: “BIOWEG combines a compelling regulatory tailwind with a credible industrialisation plan and strong customer pull. We’re backing the team as it’s perfectly positioned within the ongoing transformation of supply chains towards microplastic-free products.”
Nikolaj Klebert, Investment Director at BonVenture, added: “BIOWEG combines technological excellence with strong impact, led by international founders and a diverse team that champions inclusivity in deep tech — driving Europe’s shift to a microplastic-free future.”
Michael Kiesewetter, NBank Chairman of the Board, highlighted regional benefits: “BIOWEG’s business model can significantly increase the sustainability of cosmetics, cleaning products, and seeds while creating high-quality jobs and strengthening Lower Saxony as a technology hub.”
BIOWEG’s Product Portfolio
BIOWEG’s product pipeline includes:
- Micbeads – biodegradable micro-powders for cosmetics, delivering premium sensory performance.
- RheoWeg – bio-based rheology and suspension control solutions for personal and home care.
- AgriWeg – seed and fertilizer coatings enabling controlled release and improved handling.
With production capacity scaling in Germany, BIOWEG plans to qualify supply with industrial customers and support reformulation programs across Europe.
