With this latest funding round, Sistema.bio has raised a total of $18.5 million in 2024. The funds will be used for regional expansion, product development, and supporting the company’s anticipated Series C funding round
Sistema.bio biodigesters (Image Credits: Sistema.bio)
Global biogas technology leader, Sistema.bio, has landed a $3 million investment from Novastar Ventures. This investment comes on the heels of the startup’s recent internal financing round and forms part of the $7.75 million accrued from the funding.
The $3 million from Novastar Ventures marks the first investment from from Novastar’s Africa People and Planet Fund III (NVIII), a fund dedicated to supporting businesses that promote sustainable development in Africa. In the same vein, this fund will be used to fuel the Sistema.bio’s expansion into new African markets, develop innovative agricultural and energy products, and drive overall growth.
“Novastar Ventures’ investment strengthens Sistema.bio’s mission to empower low-resource farmers with sustainable solutions that drive economic growth, climate resilience, and regenerative agriculture.Together, we are scaling impactful technologies that benefit both people and the planet.” said Joyce Cacho, Board Chairman of Sistema.bio.
Sistema.bio’s unique offering is its provision of biodigesters – a technology that converts farm waste into biogas, which is in turn used for cooking, heating, and powering machinery. Moreover, the process generates organic fertilizer, enhancing soil health and crop yields. Biogas technology also aids climate change mitigation by reducing methane emissions from waste decomposition.
“Sistema.bio’s innovative technology and financing model empowers family farmers to transform waste into a valuable resource. This not only brings economic and health benefits but also builds resilience to climate change. We are excited to partner with Sistema.bio at this crucial juncture as they unlock carbon markets and expand their reach.” said Steve Beck, Co-founder and Managing Partner at Novastar Ventures.
The investment is in step with Novastar’s broader mission to back African entrepreneurs who are building socially and environmentally impactful businesses. Their portfolio companies have created lasting value for millions of people while promoting environmental sustainability by reducing greenhouse emissions, improving soil health, and increased biodiversity.
“We have known the Novastar team for some time and are thrilled to welcome them as investors. This investment fuels our ambition to scale our services across Africa, empowering even more farmers with impactful solutions. It also underscores our commitment to climate action as we work towards a 1% reduction in global greenhouse gas emissions by 2030.” said Steve Beck, Co-founder and Managing Partner at Novastar Ventures.
With this latest funding round, Sistema.bio has raised a total of $18.5 million in 2024. The funds will be used for regional expansion, product development, and supporting the company’s anticipated Series C funding round. This will help Sistema.bio to solidify its leadership in biogas technology and continue empowering smallholder farmers to build more sustainable and productive agricultural practices.
