Magnotherm has developed a revolutionary new technology that is set to save the world from hazardous refrigerants and reduce energy costs. The company’s Magnetocaloric Refrigeration technology utilizes magnets and water and is said to consume up to 40% less energy than conventional refrigeration solutions.
To further support the development of their technology, Magnotherm has recently closed a seed funding round that was oversubscribed with a total of €6.3 million. The round was led by Extantia Capital, with Hessen Kapital, Lauda Dr. R. WOBSER Beteiligungs-GmbH, and Revent joining together with four investors from the Better Ventures Angel Club.
Founders of the company, Timur Sirman and Alexander Reiterer have achieved a lot in such a short amount of time. After spinning out of TU Darmstadt in 2019, Magnotherm has shipped five display coolers to Coca Cola with plans for 55 more. And that’s only a preview for the real work ahead. The global market for commercial refrigeration is estimated to be around €37 billion, with the company planning to capture a large share of the market with its Magnetocaloric Refrigeration.
When it comes to cooling food and beverages, the technology hasn’t changed in over a century and mostly relies on refrigerants that are harmful to the environment. To replace these chemicals, Magnotherm proposes a clean alternative that is not only more efficient but also does not damage the ozone layer or contribute to global warming. Propane, which is commonly seen as an alternative refrigerant, is seen as a weak solution due to its flammability and potential risk of leakage. Carbon dioxide is another option, but its usage requires expensive, high-pressure systems.
Both Timur Sirman and Alexander Reiterer have worked on Magnetocaloric Refrigeration for a long time and have seen the potential of this technology. With new funding and high-profile support, the team at Magnotherm is set to revolutionize the refrigeration industry and make a major contribution to the fight against climate change.