The sustainable technology company Turntide Technologies has just brought in $225 million in convertible note financing. This new capital injection will be used by the company to help in its mission to reduce carbon emissions in critical industries such as commercial buildings, transportation, and agriculture.
The round was led by Canada Pension Plan Investment Board (CPP Investments), with investments coming from Monashee Investment Management LLC, JLL Spark, Breakthrough Energy Ventures, Captain Planet LP, and Suvretta Capital Management LLC. This new investment brings the total funding raised by Turntide to date up to $400 million.
Ryan Morris, Turntide’s Chairman and CEO, said in a statement: “As with our prior financings, this raise was majority filled by strategic sources of capital that are investing in both our business and our multi-decade sustainability mission. The addition of several investors fortifies Turntide with the additional capital we need to expand into new markets like electrified transport.”
Turntide already made a significant step into the transport market last month when it launched Turntide Transport, a division of the company that is focused on producing modernized intelligent motor systems for the transport industry. To do this, it acquired two UK-based businesses, Hyperdrive Innovation Ltd and BorgWarner Gateshead Limited. Turntide wants to use the assets from these companies and its existing tech to create a one-stop powertrain offering that includes battery pack, motor, power electronics, and connected intelligence. The idea is that this type of full-stack solution will be able to provide electrification for a wider variety of vehicles than just cars, for example in aviation, commercial transport, construction, and more.
One of the key products already in Turntide’s portfolio is its Smart Motor System. Turntide believes that this system will be able to reduce energy consumption by almost 64%. An important factor is that it is produced without the use of rare earth minerals, which are used by most permanent magnet motors and which are damaging to the environment.
Matt Boyle, managing director of Turntide’s transport division, commented on the role of these materials in a statement.“For decades, the industry considered switched reluctance motors to eliminate the need for rare earth magnets, and this capital enables Turntide to innovate and finally make this a reality.” He went on to also reveal the company’s plans to collaborate to achieve its goals. “It requires a solid, long-term commitment to work with leading brands such as JCB, Hitachi Rail and Volkswagen’s MAN division to make lasting change and assist in achieving global net zero goals.”