Pune-based deeptech startup Ecozen has bolstered its growth trajectory by raising over $23 million in debt funding.
The funding round saw participation from notable investors, including responsAbility Investments AG, Northern Arc Capital Limited, and Maanaveeya Development & Finance Private Limited, among others.
This latest funding milestone follows Ecozen’s earlier financial successes. In April 2023, the company attracted $30 million through a mix of debt and equity led by Nuveen Global Fund, which also spearheaded a $25 million round in January 2023.
The newly acquired funds will enable Ecozen to scale its existing operations and strengthen its foothold in sustainable technologies.
Founded by Devendra Gupta, Ecozen specializes in climate-smart deeptech solutions, offering advanced technologies in motor controls, IoT, and energy storage with an emphasis on solar-powered systems. Its flagship products, Ecotron and Ecofrost, cater to the agricultural and cold chain sectors, helping businesses optimize energy efficiency while reducing their environmental impact.
With its impressive track record, Ecozen has achieved a Compound Annual Growth Rate (CAGR) of over 83% in revenue over the past three years. The startup has produced more than 300,000 Ecotron solar pump controllers, with 100,000 units manufactured between March and December 2024 alone.
Ecozen’s revenue growth has been equally remarkable. According to data from TheKredible, the company’s revenue surged by 139% in FY23, reaching ₹293.24 crore, up from ₹122.57 crore in FY22. Notably, Ecozen transitioned to profitability, recording ₹5.76 crore in profits for FY23, a significant improvement from a ₹37 lakh loss in FY22.
Although Ecozen has yet to file its FY24 annual report, its rapid production capacity and market demand signal continued growth.
In addition to Ecotron and Ecofrost, Ecozen has diversified its offerings with products like Eco-Freeze, Ecozen atta chakki, Ecotron Omni, and e-bike controllers, catering to a broad spectrum of industries, including agriculture, logistics, and electric mobility.
Ecozen competes with players such as Powerflex, Inficold, and Khetworks in the climate-tech sector. However, its focus on solar-driven technologies and a proven track record of scaling sustainable innovations give it a distinctive edge in the market.
With the latest infusion of capital, Ecozen is poised to accelerate its mission of transforming industries through climate-smart solutions while contributing to global sustainability goals.
