NanoH2O Inc., manufacturer of the most efficient and cost effective reverse osmosis (RO) membranes for seawater desalination, today announced that it has closed a $40 million equity round and $20.5 million in credit facilities. NanoH2O's patented thin-film nanocomposite membrane technology can purify water from a broad range of sources, yielding higher productivity, better water quality or reduced energy consumption over traditional membranes.
BASF Venture Capital GmbH, Total Energy Ventures International and Keytone Ventures co-led the $40 million equity financing that included all of NanoH2O's existing investors including Khosla Ventures, Oak Investment Partners, CalPERS Clean Energy & Technology Fund represented by Capital Dynamics and PCG Clean Energy & Technology Fund. The $20.5 million in growth capital, working capital and equipment financing credit facilities were provided by Comerica Bank and Lighthouse Capital Partners, with the working capital line backed by the Export-Import Bank of the United States. The $40 million investment brings NanoH2O's total equity funding to $75 million, and total debt and equity funding to over $100 million, making the Company one of the most highly funded water technology companies in the industry. Proceeds from the equity offering will enable the Company to accelerate its growth, expand its manufacturing capabilities and broaden its product offerings.
Jeff Green, Co-Founder and Chief Executive Officer of NanoH2O stated, "We are delighted to have such highly regarded, international organizations invest in our future and appreciate the continued support of our existing, globally renowned investors. With these funds and new strategic partners, we are well positioned to continue to provide our global customers with new, leading-edge RO membranes that lower the energy, operating and capital costs of desalination and other water treatment applications.
"There is a great demand worldwide for innovative technologies to produce drinking water from seawater," says Dirk Nachtigal, Managing Director, BASF Venture Capital. "NanoH2O has developed special nanostructured polymer-based membranes for seawater desalination which are particularly effective in removing the salt from seawater in a highly energy efficient way," explained Nachtigal.
Veronique Hervouet, Senior Vice President, Investments, Total Energy Ventures adds, "The need for innovative technologies to meet the increasing demand for fresh water while lowering its energy and environmental footprint has never been greater. NanoH2O's ability to rapidly develop novel membranes for water treatment applications fits our mission to invest in companies with unique technologies that bring smart and sustainable solutions to the energy industry."