Estonian producer of sustainable packaging RAIKU raised over €1,1M

Estonian producer of sustainable packaging RAIKU raised over €1,1M from Tallinn-based capital family office Kaamos, Estonian green company Vestman, Estonian Little Green Fund, and other private investors from Estonia and Finland.

RAIKU was founded in Estonia in 2021 by Karl Pärtel and Rain Randsberg. It produces packaging materials made out of 100% wood, an alternative to plastic bubble wrap and packaging filling. After its use, the packaging can be turned back into nutrients by nature itself. RAIKU’s novel process increases its raw material volume by 15-20 times. For example, it turns 1m3 of wood into 20m3 of packaging material.

Compared to paper and cartons, manufacturing of RAIKU packaging needs 90% less wood, 98% less energy, 99.9% less water, and 100% fewer chemicals. 

The company plans to scale up its production next year and is negotiating with venture funds to receive additional investments. Also, during the next few years RAIKU targets to have modular production units around Europe and beyond.

Kaamos Group was established in Tallinn in 2002. The Chairman of the board is Kaido Jõeleht. It is a capital-based family office that operates in the area of real estate development, construction, energy, and the timber industry. The company invests in early-stage startups, which have connections to real estate, construction, energy, and timber. The startups should have strong ties to Estonia, have a working prototype of their product or service, and be their first paying customers. The average ticket is up to €100K per company.

Vestman was founded in Viljandi (Estonia) in 1995 by Aivar Berzin. The company allows to purchase, rent, and sell the farmland. Besides, it makes investments in energy, food, and forestry. The average ticket size amounts to €25K-€250K, the sweet spot is €75K, and the maximum amount of follow-on investments is €500K per company.

Little Green Fund was founded in Tallinn in 2021 by Andrus Purde, Erki Ani, and Karl Joosep Pärtel. It invests up to 50K in greentech and cleantech companies. In the fund's portfolio are Fusebox, UP Catalyst, VOK Bikes, EAgronom, Cuploop, and others.