Talk about a cool deal. Durham solid-state cooling technology startup Phononic is adding a whopping $40 million to its latest round of financing.
The $71-million round is the biggest for a N.C. startup this year.
Phononic announced the big cash haul Wednesday with UBS’ wealth management business providing the funding.
Investors in the round include GGV Capital, Lookout Capital, Eastwood Capital Corp, Venrock, Oak Investment Partners, Tsing Capital, Huaneng Invesco WLRoss, Wellcome Trust and Rex Healthcare Ventures.
“Our manufacturing facility in Durham, North Carolina is now in full scale production of micro- and pico-TEC cooling devices for fiber optics, and scalable heat pumps for pharmacy, healthcare and residential refrigerators,” said Tony Atti, Phononic’s co-founder and CEO. “UBS’ wealth management network brings sophisticated and strategic growth capital that will help us deliver smart, sustainable, solid-state products and solutions globally.”
The funding will be used to expand the company’s sales and marketing teams, customer service, and support.
“The continued growth of Phononic is exciting and we welcome these additional resources from such a well-respected global institution,” said Jenny Lee, Managing Director at GGV Capital and a Phononic board member, in the funding announcement. “As investors are collectively on the lookout for sustainable investment opportunities that disrupt latent global markets, Phononic’s disruptive products, customer traction and sustainable cooling and heating roadmap are a global difference-maker.”
Phononic notes recent global efforts to reduce greenhouse gases, something its technology enables.
“Phononic is bringing smart, sustainable and cost-effective semiconductor solutions to market today,” the company says. “Its solid state approach realize products right now that are displacing compressors, heat sinks and fans, and most importantly, offering a solution that cuts out toxicity completely.”
“The continued growth of Phononic is exciting and we welcome these additional resources from such a well-respected global institution,” said Jenny Lee, Managing Director at GGV Capital and a Phononic Board Member. “As investors are collectively on the lookout for sustainable investment opportunities that disrupt latent global markets, Phononic’s disruptive products, customer traction and sustainable cooling and heating roadmap are a global difference-maker.”
