Sustainable packaging company TemperPack has raised a $31 million Series C round, according to AgFunder News. The round was led by Wheatsheaf Group with participation from existing investors, and brings TemperPack’s total funding to roughly $78 million.
TemperPack’s main mission is to change the packaging industry by reducing our reliance on non-sustainable materials used to ship foods, medications, and other perishable items. To do that, the Richmond, VA-based company uses a patented material it calls ClimaCell, which it makes from “renewable plant-based components and paper.” The material acts as an insulating element in packaging materials. In essence, it does the job of Styrofoam but is made from plants and 100 percent curbside recyclable.
In the food world, TemperPack already works with meal kit company HelloFresh, as well as surplus produce companies Misfits Market and Imperfect Foods.
The Series C round comes at a time when the world is sorely in need of more sustainable packaging options for food items. Thanks to the pandemic, record numbers of consumers are shopping online for groceries, restaurants have moved to mostly off-premises formats, and even the once-beleaguered meal kit category is making a comeback. All of those food options for consumers mean a lot more potential for packaging waste if more earth-friendly, easily recyclable alternatives aren’t found.
TemperPack and planned to raise new funds closer to the end of 2020, but told Crunchbase that increased demand for its product allowed the company to do that sooner. That’s at least some encouragement if you’re worried about the amount of packaging piling up in landfills thanks to the pandemic.
The company says it will use the new funds to buy more equipment to increase the manufacturing of its ClimaCell product. There is also a possible expansion to Europe. Currently, it operates facilities in Richmond and Las Vegas, NV.