Marine technology company RAD Propulsion has closed a £4.27m (US$5.7m) funding round, exceeding its initial £2.5m (US$3.3m) target, to accelerate operational scale-up as its RAD 40 electric propulsion drive moves into mass production.
The round was led by One Planet Capital, Ocean Infinity, The FSE Group and High Growth Robotics, with support from Blake Morgan, FAIR Advisers and existing investors.
Southampton-based RAD Propulsion develops control systems and electric drives, and provides support to help boat builders and operators create cleaner, safer and smarter boats. Its RAD 40 product, a 60hp-equivalent electric drive system, already has customers in the USA, Norway, Finland, Germany, Spain, the UK and the Netherlands.
The company said this year will bring substantial progress in worldwide sales and new product launches as it targets demand in what it describes as a US$12bn, rapidly growing market. The funding will also support technology development, including investment in digital tools, the company’s 120kW product, and interfaces to increase control and display of partner products.
Dan Hook, CEO of RAD Propulsion said, “The requirement for electric propulsion in the marine world is happening now as customers transition away from their reliance on fossil fuels. RAD’s unique, tech focused approach ideally positions us to deliver boat builders, commercial operators and high-end leisure users the solutions they need to reduce their carbon footprint.
“We are hugely grateful to our investors affording us rapid expansion to get our products out to international customers and fast-track our new product development, setting us up for a profitable future.”
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