tozero, a Munich-based battery recycling startup, has raised €11 million in an oversubscribed seed funding round led by NordicNinja, with new investors including In-Q-Tel, Honda, and JGC Group. Existing investors Atlantic Labs, Verve Ventures, and Possible Ventures also participated in the round.
Founded in 2022 by Sarah Fleischer and Dr. Ksenija Milicevic Neumann, tozero focuses on sustainable lithium-ion battery recycling, addressing Europe’s lithium supply gap by recovering critical raw materials and reintegrating them into global supply chains. This latest funding will support tozero’s plans to build its first industrial-scale plant and scale up production of recycled lithium in Europe.
Sarah Fleischer, Co-founder and CEO of tozero said: “Despite our limited resources as a two-year-old startup, we’ve already made human history by being the first to ever deliver recycled lithium for end products in Europe, while our competitors are still lingering on the topic for many years. I’m excited to see what our rockstar team will achieve next— we’re establishing our FOAK plant now, but there is so much more we will be able to achieve in the future. We need a global solution tomorrow, as every moment counts as we fight the climate crisis.”
The global demand for lithium is expected to quadruple by 2030, driven by the growth of electric vehicles and renewable energy storage needs. However, with current lithium mining meeting only 5% of projected demand, tozero’s recycling solution offers an alternative by transforming battery waste into high-purity lithium. Unlike traditional high-temperature methods, tozero’s process reduces emissions by approximately 70% and allows for the recovery of lithium from various types of battery waste.
Shin Nikkuni, Co-founder and Managing Partner at NordicNinja, commented: “tozero’s innovative approach to battery recycling is exactly what Europe needs to secure key supplies in the global electrification race and Japan would love to collaborate. Sarah and Ksenija, two exceptional founders, have the expertise and drive to transform the landscape for sustainable battery solutions. We’re excited to support the tozero team in scaling its technology and commercial operation and contributing to a more sustainable and independent energy future for all.”
With this investment, tozero aims to establish its first industrial plant to process up to 30,000 tonnes of battery waste annually by 2026. This aligns with the EU’s Battery Directive, which mandates that at least 80% of lithium be recovered from batteries by 2031. To support its growth, the company has also expanded partnerships with battery waste suppliers across multiple countries and is actively working with industries including ceramics and construction, furthering its mission to promote a circular and sustainable lithium supply in Europe.
