Yale-founded P2 Science, which produces chemicals from clean feedstocks like vegetable oil, secured funding from investors including Elm Street Ventures to take its total to about $23.3m.
P2 Science, a US-based green chemicals production spinout of Yale University, has completed a $12m series C round co-led by luxury fashion and beauty brand Chanel.
Chanel co-led alongside HG Ventures, the corporate venturing arm of chemical and industrial conglomerate The Heritage Group, with participation from Yale-backed venture fund Elm Street Ventures.
BASF Venture Capital, the corporate venturing arm of chemical producer BASF, also participated, as did state-owned investment firm Connecticut Innovations and Malaysian government-backed investment vehicle Xeraya Capital.
The deal was filled out by private equity fund manager Ironwood Capital Connecticut and sustainable consumer product-focused venture fund Safermade.
Founded in 2011, P2 Science manufactures and supplies chemical ingredients for flavourings, fragrances and cosmetic products.
The company uses environmentally-sustainable feedstocks such as vegetable oil instead of petrochemicals which typically rely on fossil fuels.
Part of the series C funding will go to building capacity at P2 Science’s manufacturing site in Naugatuck, Connecticut. Kip Frey, managing director of HG Ventures, has joined the spinout’s board of directors.
P2 Science extends research conducted by Paul Anastas, director of Yale University’s Center for Green Chemistry and Green Engineering and professor in the practice of chemistry for the environment.
Patrick Foley, a Yale PhD graduate, also helped set up the company, having met Anastas at the Center for Green Chemistry and Green Engineering. The duo were assisted by both the university and Elm Street Ventures.
BASF Venture Capital and Xeraya Capital co-led P2 Science’s most recent funding round, a $9.6m series B closed in 2017 with the help of Elm Street, Connecticut Innovations and Ironwood Capital.
Connecticut Innovations had previously supplied $500,000 through its Eli Whitney Equity Fund in 2014, investing as part of a $1m series A round together with Elm Street Ventures, according to media reports.
The government-owned unit also supplied $500,000 of seed capital in 2013, although reports at the time gave the figure as $200,000, having previously put up $150,000 of pre-seed funding in 2012.
