Fusion Coolant Systems, a spin-out from the University of Michigan, raises $600k in series A round.
US-based Fusion Coolant Systems, a University of Michigan (UoM) spin-out that produces coolant and lubrication systems for the manufacturing sector, has raised $600k in a series A round led by The Frankel Fund, a venture fund led by UoM students.
The round also saw participation from seed funds The Amherst Fund, Detroit Enterprise Fund, First Step Fund, technology business association Automation Alley, and The Michigan Pre-seed Fund.
Investment in the Detroit-based spin-out will be used to execute a growth plan for Fusion, which includes building up sales and marketing divisions as well as further product development of Fusion’s Composite High Pressure Lubricant (CHiP Lube).
“It’s gratifying to bring a disruptive metal working coolant technology to market that offers customers the opportunity to achieve the next level of lean manufacturing processes,” said Tom Gross, chief executive officer of Fusion. “With this funding round now closed, we’re able to accelerate our growth and deliver added value to customers seeking ways to reduce manufacturing costs in an environmentally friendly way.”
Tom Porter, director of the Frankel Fund, added: “The Frankel Fund is pleased to be able to play a role in the growth of Fusion Coolant. The Company has successfully developed a novel process for removing both cost and environmental waste from the current processes used by the machine tool industry. The superior benefits of the system have been well received by customers and are expected to change the future of metalworking coolants.”
