Innomost, a Finnish start-up specialising in bioactive cosmetic and pharmaceutical products, has raised €5m in funding to bring its eco-friendly innovations to new markets.
The company, which is renowned for its portfolio of birch bark ingredients, replacing fossil fuel-based materials, will use the cash injection to fund a new production facility in its native town of Kokkola.
Innomost hopes the site will be capable of producing 20 tonnes of birch bark products per year by 2023.
Growing its existing customer base in international markets is also in its strategy, as well as improving its R&D.
“We are very grateful to our investors for seeing the potential in our innovation,” said Sami Selkälä, Innomost’s founder and CEO.
“We have several other industries in our sights that can all replace negative impact products and materials, including pharmaceutical, techno chemical, textile, and nutraceutical industries.”
Erik Kolehmainen, VP of Corporate Venturing at Metsä Spring, an investor in the start-up added: “Innomost is developing a business idea, in which birch bark, a side-stream of Metsä Group’s operations, is valorised to high-value products for the cosmetics and personal care industry.
“In other words, this is exactly the kind of development that Metsä Spring would like to catalyse. We are very much looking forward to helping Innomost reach its milestones and goals.”
Innomost’s current product portfolio consists of birch charcoal powder, birch bark powder, betulin, suberin and azelaic acid.
