Avatar Leadership Fund has invested $800K in CO2Brew, a Calgary-based startup focused on emissions reductions and supply chain resilience in the brewing industry. The funding round was led by Avatar and several Canadian angel investors.

CO2Brew, spun out of Avatar Studio in 2022, is working on commercializing its proprietary CO2 capture and scrubber system. The system recovers high purity liquid CO2 from fermentation and reuses it in the brewery carbonation process. Breweries can offset the purchase of industrial food-grade CO2 by ensuring a self-sufficient supply of beverage-grade CO2. The company plans to expand into the winery, distillery, and food processing industries, unlocking revenue streams from the sale of excess CO2. 

CO2Brew’s pre-seed round comes on the back of recent ecosystem success, having won the Inventures 2024 “Earth Tech: Building Everything Better” pitch competition and being named a finalist for “Venture of the Year” in Foresight Canada’s 2024 Alberta Cleantech Awards. 

CO2Brew will use the funds from this round to build and operate its pilot with Cold Garden Beverage Company, bring its first commercial unit to market, and extend market presence across North America.

“We are thrilled to strengthen our partnership with Avatar. Having formed CO2Brew within Avatar’s Studio, we have benefited from Avatar’s hands-on leadership, expertise and strategic support as we bring our innovative technology to market. We are honoured to be Avatar’s fund first investment and are empowered by Avatar’s passion for decreasing industrial emissions”. 

   – Kent Swanlund, CEO & Co-Founder, CO2Brew 

“CO2Brew is an impressive representation of the innovation that can be unlocked by working within industry to create solutions for real problems. We are inspired by team’s passion and dedication and thrilled to lead this transaction and fill a critical gap in the clean-tech ecosystem by providing CO2Brew with necessary early-stage risk capital to pursue their business strategy and growth.” 

   – Bryan Trudel, Partner of Avatar’s Fund and CFO & Co-Founder of Avatar Innovations

SOURCE: CO2Brew
PHOTO CREDIT: CO2Brew