Richmond’s TemperPack Technologies Inc., a maker of sustainable packing products, has secured $140 million in new equity financing led by Goldman Sachs Asset Management.
It's the largest funding round for a Richmond-area company in at least two years, according to Crunchbase data.
The round of funding announced Tuesday also includes participation from existing TemperPack investors Grosvenor Food & AgTech of the U.K., Birmingham, Alabama’s Harbert Growth Partners, San Francisco’s Tao Capital Partners, D.C.’s Revolution Growth, Durham, North Carolina’s SJF Ventures and Chevy Chase, Maryland’s Arborview Capital.
TemperPack said it would use the funding to expand its capacity, grow its geographic footprint and extend its customer reach. The company’s flagship ClimaCell product is an insulation material that replaces Styrofoam coolers for use in shipping food and life sciences products. The company says the product reduces plastic waste and carbon emissions. The ClimaCell product has spurred significant growth for TemperPack, especially in the last two years as Covid-19 increased demand for delivery services. Clients include HelloFresh and UPS Healthcare.
The investment in the 7-year-old Richmond company will “accelerate the development of technologies that disrupt the use of conventional single-use plastics,” Jeff Possick, managing director of Goldman Sachs Asset Management, said in a statement.
The new round comes on top of about $110 million raised prior, most recently $30 million last year.
The funding round follows a move last year where co-founder and CEO Brian Powers stepped into the role of chief growth officer, while Bob Beckler, the company’s board chairman and a longtime packaging company executive, took on the CEO role. The company told the Richmond Times-Dispatch last year it was approaching $100 million in annual revenue.
Execs hinted last year at the development of a new product line, which it aimed to launch in 2022.
