Mykor raises £4M Series A to scale low-carbon construction materials grown from waste
What's the deal? MykorDealroom has a profile for this one. Try Dealroom →, a UK biotech startup that grows construction products from agricultural and industrial waste using engineered mycelium, has raised £4M in funding. Clean Growth FundDealroom has a profile for this one. Try Dealroom → led the round, with participation from the British Business Bank's South Investment Fund via The FSE GroupDealroom has a profile for this one. Try Dealroom →, Green Angel VenturesDealroom has a profile for this one. Try Dealroom →, and Innovate UK's investor partnership programme. Total funding now stands at £7.5M.
The company's biofabrication process turns waste streams into construction materials — from prefabricated walls to cavity wall insulation — in days rather than extracting finite raw materials that take centuries to form.
Why now? The built environment accounts for roughly 39% of global emissions. As whole-life carbon assessments become standard, developers face mounting pressure to cut both embodied and operational emissions from buildings.
Regulatory deadlines are tightening fast. The UK's Future Homes Standard will require all new homes to be highly energy efficient from 2027, and the EU's Energy Performance of Buildings Directive mandates zero-emission new buildings and large-scale retrofit.
What could go wrong? Mykor's core challenge is industrialisation — manufacturing bio-based materials cost-effectively at commercial scale while meeting fire, acoustic, and performance standards. Conventional insulation is entrenched, cheap, and well understood by contractors. Convincing a conservative industry to adopt novel biomaterials at scale is no small task.
The signal: Mykor's investor mix — a climate-specialist fund in Clean Growth Fund, public capital via the British Business Bank and Innovate UK, and impact-focused Green Angel Ventures — reflects a deliberate strategy to de-risk an early growth stage hardware company through blended finance. The £338M in offtake agreements already secured suggests the demand side is less of a question mark than the supply side, making this round essentially a bet on manufacturing execution rather than market validation.
Read more: startuprise.co.uk
