Sand battery company Polar Night Energy secures €7.6m in seed funding

April 5, 2024

Finnish sand battery company Polar Night Energy has secured €7.6m in seed funding.

The investment round was led by South African investor Jonathan Oppenheimer, and co-led by Finnish investment companies Stephen Industries, Holdix and Turret, and joined by a Swedish family-owned investment company PC Rettig & Co. Impact and a “group of existing investors”, a statement said.

Recently, Polar Night Energy announced a new industrial-scale sand battery project with Loviisan Lämpö, a Finnish district heating company, in addition to a partnership with Ilmatar, a Nordic energy company and independent power producer (IPP), aimed at storing surplus wind and solar energy in large-scale sand batteries.

The funds will be used for several purposes, including growing sales and R&D and advancing the company’s capabilities in converting stored heat back to electricity.

Polar Night Energy’s co-founder Markku Ylönen said: “We’re thrilled with the results of this round, especially given the current challenges in the financing environment. There’s been considerable interest in our work, with investors recognizing our potential. This has helped us finding the right and most supportive investors. We’re excited to enter a new phase of growth and innovation.”

Oppenheimer added: “I believe protecting our environment and climate is central to our survival as human beings and society. The environment we live in is under threat, and we need to find sustainable ways to thrive while preserving our planet. Polar Night Energy has the potential to be a part of the solution.”

Jens Söderholm, representing Holdix and Turret, said: “The Sand Battery is genius in its simplicity. It’s a great solution to hedge against volatility in electricity prices.”