Finnish startup Fiberdom has raised €3.5 million in funding to advance its innovations in plastic-free materials. The company specializes in transforming market pulp and paperboard into a supermaterial that is 100% plastic-free, formable, strong, recyclable, and home-compostable.
Fiberdom already achieved commercial success with its plastic-free cutlery. The startup is now targeting other high-growth markets, including food contact materials and durable packaging. The funding is expected to enhance Fiberdom’s research and development and strengthen its core resources.
Heino Group led the investment alongside Nordic Foodtech VC and Holdix Oy. Additionally, Fiberdom received a €0.6 million grant from Business Finland. Tomi Järvenpää, General Manager at Fiberdom, expressed confidence in the investment amid a challenging funding environment.
“This substantial investment reflects the confidence our investors have in Fiberdom’s team and capabilities,” Järvenpää said. “We have tested our material in numerous applications and discovered massive potential.” He emphasized the importance of smart materials that deliver performance without plastic.
Fiberdom’s patented process converts natural wood fibers into a supermaterial that is durable and environmentally friendly. The company’s cutlery complies with the EU’s Single-Use Plastics Directive and is available in leading Finnish retailers and B2B channels.
Pekka Siivonen-Uotila, a partner at Nordic Foodtech VC, highlighted the importance of replacing single-use plastics. He noted Fiberdom’s technology addresses key industry challenges by offering functionality, scalability, and recyclability.
The demand for plastic-free materials is increasing, driven by consumer preferences and regulatory measures. Experts predict the global fiber-based packaging market will grow from $407 billion in 2025 to $567 billion by 2034.
“This funding represents a pivotal moment for Fiberdom,” Järvenpää stated. “We are ready to transform product categories through strategic partnerships with innovative companies.” The clean materials revolution is underway, and Fiberdom aims to lead the way.
