Lactips, a milk-based bioplastics spinout of Jean Monnet University formed by Pulsalys, has raised $14.5m in a funding round led by Bpifrance.
Lactips, a France-based dissolvable bioplastic material spinout of Jean Monnet University, has closed a €13m ($14.5m) round led by SPI Fund, an economic development unit managed by state-owned investment bank Bpifrance.
Diamond Edge Ventures, a corporate venturing vehicle for chemicals production group Mitsubishi Chemical Holdings, also took part in the round.
Founded in 2014 by regional tech transfer office Pulsalys, Lactips uses milk proteins as a feedstock for producing soluble bioplastics such as films and carrier bags without the need for oil-based plastics, reducing environmental impacts.
Lactips argues it has simplified production by packaging its proteins as standardised pellets, creating shorter lead-times and higher throughput.
The spinout believes the approach could recycle milk no longer suitable for human consumption, resolving the problem of waste in France’s second-largest production sector.
The funding will support research and development activities into additional applications for the pellets and allow Lactips to open a new manufacturing facility in 2021. The company will also explore entering additional sectors, such as construction, in France and internationally.
Patrick Suel, president of Diamond Edge Ventures, said: “With its natural, biodegradable and edible polymer, Lactips is a gamechanger and promises to help reduce plastic pollution in landfills and the oceans.
“Lactips offers Mitsubishi Chemical Holdings a unique platform to tackle the challenges caused by plastic contamination and we look forward to multiple collaborations to resolve these issues in Japan and elsewhere.” [translated from French by Global University Venturing]
Lactips closed a $4.3m funding round in July 2018 backed by BASF Venture Capital, the corporate venturing arm of speciality chemicals production group BASF.
Financial services firms BNP Paribas and Crédit Agricole participated through BNP Paribas Development and Crédit Agricole Loire Haute-Loire Capital Innovation, respectively.
Growth equity firm Demeter also took part in the 2018 round, having previously backed Lactips in 2015 through its D3 A and Emertec 5 units.
