Estonian metal fabrication platform Fractory raises investment from SmartCap Green Fund
Estonian on-demand metal fabrication platform Fractory has raised investment from the Estonian SmartCap Green Fund. The amount of the investment was not disclosed. According to the company, the amount is comparable to last year’s investment, when the startup raised a total of €4.8M in the round with the lead investor Finnish fund Kvanted.
Founded in 2017 by Martin Vares, Joosep Merelaht, and Rein Torm, Fractory is a platform that allows engineering companies to order metal fabrication online. The customer uploads CAD files with drawings of metal models, selects the desired material type, thickness, and quantity, and provides the delivery address. The price includes laser cutting, bending, threading/countersinking, and powder coating. The startup also offers CNC machining services, a technological solution for manufacturing non-standard metal and plastic parts.
Fractory works with several suppliers of metal structures. The company assigns a project engineer to each client, who can advise, for example, on DFM (design for manufacturing methodology) and DFC (cost design).
If the client approves the price, Fractory sends the order for production and delivers within nine days. The startup cooperates with manufacturers from the UK. The company operates mainly in the Scandinavian and UK markets but has already delivered parts to the USA, the Baltics, and other countries.
The Estonian startup will use the investment to accelerate growth in the UK and Scandinavian markets and expand its team in the UK and Estonia. Fractory also plans to start developing a digital solution that will provide clients with information about the environmental impact of their orders.
SmartCap Green Fund is a part of SmartCap, the investment company, established in Tallinn in 2021 as a subsidiary of the Estonian Business and Innovation Agency. A €100M SmartCap Green Fund supports early-stage Estonian green technology companies – through dedicated venture capital funds and direct investments in companies until 2026. The amount of the investment per startup ranges from €500K to €5M.
