UK-based startup Notpla, known for its innovative plastic-free packaging solutions made from seaweed, has raised £20m in a funding round led by United Bankers. Other participants include Catalytic Capital for Climate and Health (C3H) and existing investors Horizons Ventures and Astanor.
This funding round marks the largest for a European sustainable packaging startup in 2024, amid tightening regulations on non-recyclable packaging in both Europe and the US. The investment will be used to scale up Notpla’s manufacturing capabilities, expand its product range, and establish a presence in the North American market.
Founded in 2014, Notpla produces a range of seaweed-based packaging alternatives, such as spoons, paper, and oil sachets, which decompose within weeks. The company, which is already active in 10 European countries, has seen its revenue nearly double this year and aims to expand significantly in the US, a market 10 times larger than Europe’s, according to cofounder and co-CEO Rodrigo García González.
Notpla’s growth aligns with increasing demand for sustainable packaging options, driven by regulatory changes. Recent bans on single-use plastics in the UK, EU, and parts of the US have boosted investor confidence in the sector. The company’s partnership with JustEat has already brought its packaging solutions to vendors across Europe, with the UK being its largest market, serving clients like 50 football stadiums nationwide.
Looking ahead, González expects Notpla’s European market share to continue growing rapidly, while US market penetration will take longer due to necessary infrastructure and manufacturing setup. However, the demand for plastic-free alternatives is expected to drive significant growth in both regions.
As Notpla expands, it plans to increase its focus on supplying raw materials for other manufacturers, moving further down the supply chain. This shift is expected to drive higher volumes, making scale a key factor in its long-term strategy.
