German lithium-ion battery recycling startup tozero has secured €11 million in an oversubscribed seed funding round to scale its production. Finnish venture capital fund NordicNinja is the lead investor, as stated in the startup's press release.

About tozero

  • tozero is a Munich-based startup co-founded in 2022 by Sarah Fleischer and Dr. Ksenija Milicevic Neumann.

  • The company's target is to establish Europe's leading lithium-ion battery recycling plant, focused on recovering critical materials such as lithium and graphite in a sustainable way. 

  • By reintroducing these materials into the supply chain, tozero aims to support the creation of new batteries while promoting a circular economy.

As stated by the company, global lithium demand is set to quadruple by 2030, to an estimated 3.1 million metric tons. And tozero is ready to tap into the market.

Investment details

  • NordicNinja VC is the lead investor in this seed round. Launched in 2019, NordicNinja is the largest Japan-backed VC fund in Europe and has a focus on investing in scaling companies that contribute to a more sustainable and digital society.

"tozero's innovative approach to battery recycling is exactly what Europe needs to secure key supplies in the global electrification race and Japan would love to collaborate. Sarah and Ksenija, two exceptional founders, have the expertise and drive to transform the landscape for sustainable battery solutions,” Shin Nikkuni, Co-Founder and Managing Partner at NordicNinja, commented on the deal.

  • New investors joining this funding round include In-Q-Tel (IQT), automotive giant Honda, and global infrastructure engineering giant JGC Group. 

  • Existing investors including Atlantic Labs, Verve Ventures and Possible Ventures, also doubled down.

The startup will use the fresh funding to build its first industrial deployment plant, often referred to as a First-Of-A-Kind (FOAK) plant, boosting production of recycled lithium.