Swedish Algae Factory Scales Up: Algae-Powered Innovations Set to Transform Beauty, Battery & Green Tech Industries

Swedish Algae Factory, a trailblazer in sustainable biotechnology, is taking a bold step forward by scaling up production of its revolutionary algae-based material, Algica®. This patented material, derived from the microscopic marine marvel known as diatoms, is already making waves across industries—from beauty and personal care to solar energy and battery technology.

The company, now operating a full-scale commercial factory in western Sweden, is the first in the world to achieve this level of production using diatoms. These microalgae are not only responsible for generating about 20% of the Earth’s oxygen, but their high-tech silica shells also possess incredible properties—light-altering, moisture-absorbing, and chemical-filtering—that make them a sustainable powerhouse across numerous applications.

A Factory Built for the Future

The facility is ingeniously split into two main sections: Cultivation and Processing. The cultivation area, housed in a 2,300-square-meter greenhouse, features shallow raceway ponds stacked to provide over 3,500 square meters of growing space—with the potential to expand to 10,000 square meters. This forward-thinking design supports large-scale production while keeping sustainability at the forefront.

“We are beyond excited to have a fully functioning factory serving global clients,” says Sofie Allert, CEO and Co-founder of Swedish Algae Factory. “Our goal is environmentally conscious production—using recycled nutrients and CO₂ for algae growth. Even our organic by-product is reused for biogas and eco-fertilizers, and may soon find its way into cosmetics, animal feed, and food products.”

Algica®: A Natural Solution to Modern Problems

Algica is already featured in over 60 personal care products worldwide. Thanks to its unmatched natural properties, it’s gaining rapid traction in the beauty and skincare sector. But its versatility doesn’t stop there—early research has shown promising results in:

• Solar panels: Boosting energy efficiency

• Lithium-ion batteries: Enhancing energy storage

• Wound care and catalyst support: Replacing harmful chemicals

The material’s non-toxic and eco-friendly profile makes it a strong contender in replacing synthetic alternatives across a wide range of applications.

€3M in Fresh Funding Fuels Expansion

To accelerate its mission, Swedish Algae Factory recently secured €3 million in new funding, supported by both existing backers like Chalmers Ventures and new investors, along with a mix of loans and grants.

“They’ve achieved what many deep-tech startups struggle with—scaling production while generating revenue from real clients,” says Jonas Bergman, Investment Director at Chalmers Ventures. “Green chemistry is a key focus for us, and the potential of diatom shells to replace harmful materials is enormous.”

Looking Ahead

With demand rising across multiple sectors, Swedish Algae Factory is actively seeking new industry partners and investors to join their mission. By scaling up their production and continuing to innovate, the company is well-positioned to make algae-derived materials a mainstream solution for a cleaner, more sustainable future.

Tags: #SustainableTech #AlgaeInnovation #GreenBeauty #CleanEnergy #DeepTech #Algica #SwedishStartups #Diatoms #EcoFriendlyProducts