Kubik, a pioneering startup in plastic upcycling, has achieved a significant milestone by securing an additional $1.86 million in seed funding. This extension brings the total seed round to an impressive $5.2 million. Notably, Kubik initially raised $3.34 million in June 2023. The company’s innovative approach to addressing environmental challenges through technology positions it as a key player in the climate and sustainability solutions space. Moreover, Kubik’s success marks a historic achievement for Ethiopian entrepreneurship, as it becomes the first Ethiopian company to secure a multi-million dollar investment in this arena.
Investor Participation
Prominent investors, including African Renaissance Partners, Endgame Capital, and King Philanthropies, participated in Kubik’s seed extension. Their involvement underscores the industry’s recognition of Kubik’s potential and impact. Investors are increasingly drawn to Kubik’s mission-driven focus on positive change through environmental technology.
Founders and Mission
Founded in 2021 by Kidus Asfaw and Penda Marre, Kubik’s core mission centers around transforming plastic waste into low-carbon, durable, and affordable building materials. By doing so, Kubik not only addresses plastic pollution but also promotes sustainable development practices across Africa. Notably, Kubik’s products offer cost savings of at least 40% per square meter compared to traditional cement-based construction, while emitting 5x fewer greenhouse gas emissions.
Strategic Initiatives
The newly secured funding will empower Kubik to pursue several strategic initiatives:
- Scaling Production Capacity: Kubik aims to expand its production capacity, meeting the growing demand for its innovative products.
- Team Expansion: The company plans to strengthen its team, ensuring efficient operations and continued growth.
- Market Presence in Ethiopia: Kubik will enhance its market presence in Ethiopia, a region where its impact is particularly significant.
- Technology Enhancement: Kubik intends to improve waste traceability and environmental impact tracking through advanced technology.
- Empowering Female Waste Collectors: The company is committed to empowering female waste collectors, promoting gender equity in its operations.
Recent Achievements
Kubik’s recent accomplishments highlight its commitment to innovation and impact:
- New Plastic Upcycling Factory: The company recently launched a state-of-the-art plastic upcycling factory in Ethiopia’s Adama Industrial Park.
- Strategic Partnerships: Kubik has established partnerships with key stakeholders, including the City of Addis Ababa and social enterprises in waste management.
- Reputable Contracts: Contracts with reputable clients, such as Pharo Ventures and Cornerstone Development Group, validate Kubik’s market relevance.
Addressing Critical Needs
Kubik’s business model aligns with critical global needs. With the affordable housing market valued at $2.2 trillion, and over 300 million units considered affordable for impoverished communities, Kubik’s solutions are essential. By offering sustainable alternatives to traditional construction materials, Kubik contributes to both environmental preservation and social progress.
Net Zero Plastic Programs
Kubik’s “Net Zero Plastic” programs have attracted interest from businesses seeking responsible plastic waste management. Partnerships with players in the hospitality and services industry demonstrate the growing demand for sustainable solutions.
CEO’s Vision
Kidus Asfaw, Co-founder and CEO of Kubik, expressed excitement about the company’s future. He emphasized Kubik’s commitment to building a brighter, greener future. Asfaw stated, “Today’s fund raise will allow us to keep up with escalating demand, scale our operations, empower more female waste collectors, and turbo-charge our pan-African growth ambitions. We look forward to the future with great confidence.”