Aberdeen-based subsea technology company Verlume has raised £2.5 million in a further funding round following a recent rebrand.
Verlume was recently known as EC-OG until it opted for a new name that was more in line with its ambition to become a “clean technology leader”.
Preparing for growth
It added that the change would also prepare it for “large-scale growth at pace”.
The firm, whose lead product is a subsea battery energy storage and management system, said the latest investment round was oversubscribed and would help it “rapidly accelerate its growth”.
The funding round was led by Edinburgh-based venture capital firm Par Equity, which took an initial stake in the Aberdeen business when it led a £1.6m investment round in 2020.
The consortia of investors in the latest round also included existing backers, Orchard Venture Capital and Scottish Enterprise.
Richard Knox, managing director and founder of Verlume, said: “As society continues to transition to cleaner energy systems, we have been experiencing greater demand for our decarbonisation solutions.
“This demand was reflected in our most recent funding round, with it being oversubscribed.
“The investment, alongside our recent rebrand, will allow us to capitalise on the growing opportunities within the energy transition and grow the business at pace.”
Paul Munn, managing partner of Par Equity, said his firm specialises in identifying “exciting, transformational technology companies with the potential for high growth”.
He added: “Two years ago, we were able to kick-start Verlume’s growth journey. Since then, we have further developed our capability to lead and coordinate investment consortia and I am delighted that our support will help them achieve the next stage in their expansion plans.”
Kerry Sharp, director of growth investments at Scottish Enterprise, said the agency has also been an investor since 2016 and welcomed a “new chapter” for the company.
Investors in low carbon technology
She added that the cash injection was was in line with investor trends to support low carbon technology development.
“More and more, the finance community is recognising the collective responsibility we all have to maximise the wider impact of our investments, supporting technologies that are sustainable and will help us on the journey to net zero,” she said.
Recently the company supplied its flagship product, Halo, to a wave energy project sea trial off the coast of Hawaii. The company aims to provide a suite of products and services across the underwater, offshore and onshore sectors, helping clients to reduce carbon footprint and decarbonise operations.
EC-OG – which stood for East Coast Oil and Gas – said its new name was a combination of “ver” which is part of the word green in languages such as French and Spanish while “lume” referred to light.
The company is the latest in a number of firms that have opted to remove “oil and gas” from their name, including the sector’s own trade body which has changed its name from Oil and Gas UK to Offshore Energies UK.