Estonian Elcogen raises €5M from SmartCap's Green Fund

Estonian Elcogen has raised €5M from Tallinn-based SmartCap Green Fund. SmartCap Green Fund financial support complements the prior strategic investments of the US energy company Baker Hughes and South Korean Mirae Asset Global Investments in Elcogen. They backed the Estonian company with €31M in April 2024. 

Founded in 2001 by Enn Õunpuu, Elcogen manufactures components called solid oxide electrolysis cells that can be used in third-party stacks and applied in heat and power generation, green hydrogen production, renewable energy storage, industrial process gas, and synthetic fuel and chemical production. According to the company, its technology reduces the commercial cost of the finished systems its customers produce.

Elcogen has an office in the UK and manufacturing facilities in Estonia and Finland and has served 160 customers in 30 countries.

The company will use the investment to further expand its operations, scale production capacity, and drive business development to better serve existing and new customers worldwide. It will also facilitate the development and construction of Elcogen’s new factory in Tallinn, which is supposed to increase the manufacturing capacity of solid oxide fuel cells and solid oxide electrolyzer cells.

SmartCap Green Fund is 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. It invests in Estonian technology companies operating in the energy, agriculture, food industry, transport and logistics, materials and chemical industries, and environmental sectors. The fund is managed by Sille Pettai.