A Scottish start-up looking to net its share of Europe’s £9billion seaweed market has secured a substantial six-figure investment.
Kaly Group has successfully raised £300,000 in a funding round led by TRICAPITAL Angels, with co-investment from Scottish Enterprise.
The business opened its first seaweed farm on the Isle of Skye earlier this year and will use the cash injection to expand its operations and develop an integrated and sustainable seaweed supply chain along Scotland’s west coast.
Seaweed offers clean alternatives to plastics, cosmetics, pharmaceuticals and textiles, and can also be used in food, animal feed and fertilisers. The potential for seaweed farming to revitalise Scotland’s marine industries is also significant.
With full-scale processing facilities, the sector could create over 550 jobs across the Scottish supply chain, offsetting the decline of traditional fishing and marine industries.
By 2030, the European seaweed market is projected to reach £9billion, with Scotland well-positioned to capture a near £2billion share – nearly a quarter of the market – thanks to its extensive coastline.
Moray Martin, Chief Executive Officer of TRICAPITAL Angels, said: “We are proud to back this exciting and innovative business as it seeks to establish a large-scale, profitable, and environmentally sustainable seaweed-based supply chain to support the food, nutrition, and chemicals industries.
“There is growing investor interest in the blue economy and our angels are enthusiastic about seaweed’s potential for creating economic growth in coastal and rural areas, delivering environmental and health benefits, and producing a diverse range of lower-carbon products.”
By adopting a community-first approach, Kaly collaborates with other marine stakeholders to ensure that seaweed farming benefits local communities and ecosystems alike.
It will now address challenges across the supply chain – from biomass cultivation to the production of high-value products – to support the scalability of the UK’s seaweed sector.
Daniel Hillman, co-founder of Kaly Group, said: “Kaly’s vision is to unlock the full potential of seaweed farming in Scotland, creating a sustainable supply chain that benefits local communities while driving economic and environmental gains.
“We are thrilled by the continuing support from TRICAPITAL and Scottish Enterprise, which will help us take critical steps toward scaling this exciting industry.”
Kerry Sharp, Director of Entrepreneurship and Investment at Scottish Enterprise said: “This investment underscores our commitment to using our world-class innovation capabilities to increase the number of ambitious companies scaling up in Scotland.
“By helping these companies grow, we aim to create high-quality, high-value jobs and empower them to compete and lead in global markets.”
