If there was one theme among this year's funding rounds for tech companies in New Mexico, it was sustainability.
For companies like Pajarito Powder, their technology is helping fuel the shift from fossil fuels to renewable energy on an industrial level. Others, like 3D Glass Solutions, are looking to move past the "startup" moniker with investment from major technology and engineering companies.
Albuquerque Business First took a look back at some of the largest funding rounds publicly disclosed by tech firms in New Mexico. If we missed a startup funding round worthy of a mention, feel free to reach out and let us know.
Below are the top rounds that grabbed our attention in 2021.
1.) BayoTech
Perhaps the largest deal in the state came at the beginning of the year with hydrogen production and services company BayoTech announcing an investment deal worth up to a whopping $157 million.
BayoTech was founded in 2015 and is addressing what it says is a need for low-carbon supply of hydrogen, which can be used as a clean fuel source. Its hydrogen production systems require less capital commitments while offering a more cost-effective solution. Through the company's on-site generators and "gas-as-a-service" business model, BayoTech aims to reduce or eliminate transportation and storage costs for clients.
Emerson Electric Co. also teamed up with BayoTech to enable the production of hydrogen after BayoTech acquired a gas services business called IGX Group Inc.
Business First chose the $157 million investment round as its 2021 Deal of the Year winner in the Technology Category.
2.) 3D Glass Solutions
The company may be shedding its startup label, but with $20 million in tow from investors including Intel and Lockheed Martin, 3D Glass Solutions is anticipating continued growth in 2022.
The Albuquerque-based firm offers "passive" devices for electronics — referring to the type of components that provide energy to semiconductors. And with a special type of ceramic glass, the company's components are meant to retain more energy, thus being more efficient. In the case of 3D Glass Solutions, their components are "geared toward much more efficient operations for the semiconductors in the 5G and higher-frequency ranges," 3D Glass Solutions CEO and president Mark Popovich told Business First this month.
Before its most recent funding round, 3D Glass Solutions also raised $12 million in a round led by Japanese electronics manufacturer Nagase & Co., according to 3D Glass Solutions.
3.) DXD Capital
Real estate data and investment firm DXD Capital posted an $11.4 million funding round with the U.S. Securities and Exchange Commission in January 2021.
It uses technology from a company called radius+, which provides a platform that can help identify market opportunities in the area of self-storage. The platform allows users to analyze pricing, site selection and includes a database of existing supply, according to radius+.
The company has eight employees and is led by principal DrewDolan, former president of Albuquerque real estate developer Titan Development, along with principals Cory Sylvester and Gary Delaney. Amanda Giannini, the former head of finance at Descartes Labs, is DXD's chief financial officer while Martha Hargrove is the company's executive vice president.
4.) Pajarito Powder
After disclosing $9.4 million in investment back in June, advanced materials company Pajarito Powder said it was planning to expand in Albuquerque. Automaker Hyundai confirmed to Business First that it invested in Pajarito, and a total of 24 investors participated in the round, according to a Form D filing with the U.S. Securities and Exchange Commission.
Using a proprietary production process and materials, Pajarito creates catalyst materials for fuel cells, which generate electricity and electrolyzers, which produce hydrogen. With the new facility, Pajarito will be able to fulfill multi-ton orders for catalyst materials — more than what it could previously deliver.
Fuel cells have started to gain traction across car companies as alternatives to internal-combustion engines. Automotive and hydrogen production companies are its main market segments, CEO Tom Stephenson previously told Business First.
5.) Green Theme Technologies
Green Theme Technologies, a company trying to change the way clothes are made, disclosed a $3.4 million funding round in June. It offers a technology that it says can reduce fabric dye waste, which is a large contributor to contaminated water.
The technology works by taking fabric that has been coated with a water-free solution which is then pressurized and heated. That process causes polymerization — a chemical process where monomers, or small molecules, combine to form larger molecules, or polymers — blending the solution and fabric.
Big-name brands have worked with Green Theme Technologies to produce water-repellent clothing. In 2018, Marmot Mountain released the first product using Green Theme technology at REI stores, a waterproof jacket called EVODry.
Green Theme also works with Utah-based Black Diamond Equipment to produce a shell jacket for skiers that uses its EMPEL finish. The jacket took first last year in the ISPO Awards, which highlights certain sports products.
6.) Terra Vera Corp.
High-tech agriculture company Terra Vera Corp. closed a $2 million seed round in February for a national commercialization effort. It had "very limited availability of the product in a number of states" but is expanding to the East and West Coasts, CEO Carlos Perea told Business First around the time the funding round closed.
Terra Vera claims to make fungi, viruses and bacteria inactive, leading to higher crop yields and saving money by eliminating the need for expensive chemicals. Terra Vera was founded in 2019 and its technology is meant for indoor and outdoor operations.
The company is targeting the cannabis industry, and is also looking into related markets such as wine grapes and hops.
