Yara Growth Ventures invests in Denmark-based startup, Dynelectro

Yara Growth Ventures, a Venture Capital firm focused on enabling a green hydrogen economy, on Friday said it has invested in Dynelectro ApS (Dynelectro), a Denmark-based startup that manufactures electrolyzers to produce low-cost green hydrogen.

The latest investment follows Dynelectro's seed investment round which was led in May 2023 by the Export and Investment Fund of Denmark (EIFO), Denmark's national promotional bank and export credit agency, with contributions from Vsquared Ventures, a leading European deep-tech fund, and other local venture investors. Dynelectro noted that the funding will be used for demonstration projects and further technology development.

"The addition of Yara Growth Ventures is a significant milestone as they are our first industrial investor thereby demonstrating market readiness and pull for innovation within clean sustainable technologies," said Sune Lilbæk, CEO, Dynelectro.

Dynelectro is currently developing technology to unlock the potential of solid oxide electrolysis (SOE). While the SOE has great potential to produce low-cost renewable hydrogen and e-fuels, it has been suffering from system lifetime issues.

"We believe Dynelectro will overcome these issues and pave the way to make low-cost renewable hydrogen a reality," commented Björn Heinz, Investment Director, part of the Yara Growth Ventures team.

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Dynelectro's approach increases the lifetime of SOE systems dramatically from typically two years to 10 years, and it also allows for the integration of SOE with intermittent renewable electricity – a key requirement for large-scale adoption, Yara said in an official release.

While Yara did not reveal the investment made in Dynelectro, the typical initial investments by Yara are around US $3 million.

Yara is the corporate venture capital team for Yara International ASA focused on investing in startups looking to change agriculture and contribute to the hydrogen economy. Yara has an ambitious goal to decarbonize the fertilizer value chain enabling the hydrogen economy.