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Sunswap, a UK clean tech startup decarbonising cold chain logistics, has secured £17.3 million, through a funding round led by BGF. The investment will accelerate the rollout of Sunswap’s zero-emission transport refrigeration technology across the UK and Europe.
Sunswap’s pioneering combined solar and battery technology is fitted to the trailer units of articulated lorries carrying chilled consumer goods throughout the European road transport network, providing a low carbon alternative to diesel powered refrigeration.
The investment from BGF, Shell Ventures, Dutch venture capital fund MOVE, and existing backers Barclays and Clean Growth Fund, will accelerate the further development and production of Sunswap’s zero-emission Transport Refrigeration Units (TRUs).
Michael Lowe, Co-Founder and CEO of Sunswap, said: “We are thrilled to have BGF and Shell Ventures support our mission to decarbonise cold chain logistics. Their investment, alongside the continued backing of our existing investors, is a real validation of Sunswap’s journey to date. This funding will be instrumental in accelerating our growth and expanding our presence in the UK and European markets. It will enable us to ramp up production, support further customer trials, and invest in the development of our zero-emission technology. Together, we will work towards a cleaner, greener future for cold chain logistics, helping businesses meet their sustainability targets.”
Sunswap’s “Endurance” TRU is a breakthrough, fully-electric solution that eliminates tailpipe carbon emissions, while providing a viable, cost-effective alternative to traditional diesel units. By combining advanced battery technology, solar power and rapid charging, Endurance enables fleet operators to seamlessly transition to zero-emission refrigeration, without compromise. Featuring solar panels on the trailer roof and a cloud-based telematics system, it enables operators to monitor and control units, delivering high performance and significant operational savings.
Rowan Bird, Investor at BGF, commented: “As the logistics industry moves towards more sustainable practices, Sunswap’s TRU technology stands out as a leading solution for fleet operators seeking to reduce their carbon footprint and operational costs. BGF is excited to support Sunwap in continuing to develop its technology, expand manufacturing capabilities, and strengthen its portfolio as a leader in the field of climate tech. This is a ground-breaking business with significant near-term market potential, and we look forward to being part of the company’s growth journey.”
Sunswap’s technology has undergone rigorous commercial trials with industry leaders, such as Tesco and Muller, demonstrating superior performance and lower total cost of ownership, compared to traditional diesel units.
The business has a growing customer book, including equipment services provider TIP Group, and shipping and logistics giant DFDS, as well as leading UK operators. Funding will be used to expand production to meet growing customer interest, increase a nationwide service network, and further advance technological development — as the business looks to capitalise on significant market opportunities in the UK and Europe for cleaner, more sustainable transport solutions.
Stephen Price, Investment Director at Clean Growth Fund, added: “We are delighted to provide further investment to Sunswap as part of this round. The company has made outstanding technical and commercial progress since we first invested back in March 2022 and is the leading innovator in transport refrigeration. With this further investment, Sunswap is poised to accelerate the decarbonisation of cold chain logistics and rapidly transition the industry away from highly polluting legacy technology.”
James Ferrier, Director, Principal Investments at Barclays Sustainable Impact Capital, said: “Sunswap’s latest acceleration towards a fully electric, zero-emission alternative to diesel-powered Transport Refrigeration Units demonstrates a step forward in the logistics industry. As an industry that generates annual revenues of £1.3 trillion and contributes £185 billion to the UK’s economy, it makes both financial and environmental sense that we adopt clean tech to support its growth. Marking Barclays’ continued support for Sunswap, we are proud to help scale technology essential to decarbonisation.”
