Battery developer Aceleron has won £2 million of equity investment, with £1.45 million from BGF and the remainder from existing investor Mercia Asset Management.

The investment will enable Aceleron to scale the production of its ‘circular economy’ battery technology, doubling its team over the coming year, and expand its reach across global markets including the UK, Europe, Africa and Americas.

The company says that most lithium-ion batteries are not designed to be reused or recycled at the end of their average 8-10 year lifespan. Aceleron’s batteries are designed to be repaired, reused and upgraded, rather than replaced, which it says provides better economics over a longer life cycle than conventional technologies, as well as reducing waste.

Andy Gregory, head of investments, UK & Ireland, BGF said: “Aceleron is BGF’s second investment into a pure cleantech company. Until the past couple of years, these companies have typically been at much earlier stages of their development and not yet ready to become bigger businesses. But we are now seeing cleantech firms gain greater traction within growing markets, as the spotlight focuses in on net zero.

“For the UK to meet its ambitious carbon neutral targets, cleantech companies with the right type of solution for the market will need to scale up, and we’re pleased to be backing Aceleron as it works towards this goal.”