Ostara Nutrient Recovery Technologies Inc., a clean water company that recovers phosphorus and nitrogen from waste and process water streams and transforms them into a premium, slow-release fertilizer, announced that it has secured $13 million in equity financing.
Led by Wheatsheaf Investments, part of the Grosvenor Estate, this round of funding also included Ostara Board Chairman Fredric "Fritz" Corrigan and existing investors, VantagePoint Capital Partners and Frog Capital.
"We are extremely pleased to have closed this round with both existing and new investors, including Wheatsheaf Investments," said Phillip Abrary, Ostara president & CEO. "Their focus on agriculture and resource efficiency, coupled with the international contacts derived from the Grosvenor Group, aligns well with Ostara's plans for future growth and success."
Wheatsheaf targets investments that support its goal of building a commercial presence with solutions that are making a significant contribution to the growing global demand for food, energy and water.
"Essential to our mandate is to seek out and enable innovative technologies that meet the demands for resource efficiency," said Graham Ramsbottom, Wheatsheaf's chief executive officer. "Ostara embodies this spirit in actual practice.
Its leadership in nutrient recovery, and its work in forging a new slow-release phosphorus fertilizer technology hold the promise of a truly global impact that is both environmentally responsible and economically sound. We look forward to playing an active, long-term role in the company's success."
"The participation of Wheatsheaf is an important step forward towards helping us expand our business," said Corrigan. "I welcome Graham to the Board and look forward to having Wheatsheaf's valuable global perspective on the team."
Ostara will use the funds to support expansion into industrial applications for its technology while continuing to grow and support ongoing development of applications and markets for its Crystal Green fertilizer. With five municipal facilities in operation throughout North America and two more set to come online, Ostara plans to focus on commercializing its first industrial project, having successfully launched a demonstration facility in 2012.
"The industrial expansion of our technology allows us to recover ever-greater volumes of phosphorus from renewable sources which we transform into Crystal Green fertilizer, the most efficient form of phosphorus fertilizer available," added Abrary.
Used by growers throughout North America and Europe, Crystal Green is a slow-release source of phosphorus plus nitrogen and magnesium that offers more consistent, plant-available nutrients than conventional water-soluble phosphorus fertilizers. Its unique mode of action results in enhanced fertilizer efficiency, boosting crop yields while reducing nutrient impact on the environment.
Ostara designs, builds and markets a proprietary nutrient recovery technology that transforms phosphorus and nitrogen recovered from municipal and industrial water treatment facilities into a high-value, eco-friendly fertilizer, sold and marketed as Crystal Green. Ostara currently operates five nutrient recovery facilities in North America and will launch two additional plants later in 2013, including its first European site in Slough, UK for Thames Water.