Advanced Electron Beams, a Wilmington, Mass.-based developer of electron beam technology for advanced manufacturing processes and environmental contro, has raised $4 million in new VC funding from GE Energy Financial Services. It had previously raised around $27.5 million from firms like Atlas Venture, General Catalyst Partners and Rockport Capital Partners.
GE Energy Financial Services, a unit of GE (NYSE: GE), announced today a venture capital investment of $4 million in Advanced Electron Beams, whose technology helps traditional manufacturers become more environmentally sustainable while improving profitability. The technology uses a stream of electrons to initiate chemical reactions or break chemical bonds more efficiently than existing thermal and chemical approaches.
Already used at the GE Global Research Center in Niskayuna, New York, and more than 40 other companies, including 11 in the Fortune 100, Advanced Electron Beams’ technology enables companies to reduce energy consumption in some cases by 60-90 percent and reduce chemical and water use. In addition, the technology delivers significant economic benefits over traditional methods: A system using Advanced Electron Beams’ compact emitters can pay for itself in less than one year.
“This technology is exciting because of its triple bottom-line improvement,” said Kevin Skillern, Managing Director of venture capital at GE Energy Financial Services. “Advanced Electron Beams’ customers achieve significant energy savings and reduce chemical emissions and consumption while simultaneously improving their bottom lines. The company has the right recipe for success: a game-changing technology breakthrough, a great customer value proposition, great traction with large, blue chip customers and a strong management team experienced in building large, successful technology companies.”
Advanced Electron Beams expects to benefit from its relationship with GE in more ways than venture capital. GE Energy Financial Services worked with the GE Global Research Center to identify nine potential applications of Advanced Electron Beams’ technology in other GE businesses. The Global Research Center has been using Advanced Electron Beams’ technology for more than two years, and it provided a strong endorsement and a technical, hands-on perspective to GE Energy Financial Services as it considered making its investment.
Advanced Electron Beams provides a platform technology with application for:
Sterilization in the food, beverage, medical and pharmaceutical packaging industries
Curing of inks, coatings and adhesives in the printing, packaging and industrial coating industries
Polymer treatment for advanced materials applications, including photovoltaic manufacturing, filtration technology and high-performance fiber and fabric production
Air pollution abatement
Other potential uses include air sterilization, food shelf life extension and hydrogen production.
“Our vision is to be the solution for the sustainable factory of the future, using electrons to enable cleaner and more efficient manufacturing processes,” said Mitch Tyson, CEO of Advanced Electron Beams. “GE’s research capabilities, wide industrial reach and focus on ‘ecomagination’ make it an ideal business partner, and we’re pleased the company recognizes that our broad technology platform has such a promising future.”
Ecomagination is GE’s program to help its customers meet their environmental challenges while expanding its own portfolio of cleaner energy products.
GE Energy Financial Services’ seven-member venture capital group led this investment. With offices in Boston, Stamford, CT, San Francisco, and Munich, Germany, the group has invested more than $150 million in the last two years in early- and growth-stage energy- and water-related technology companies.
GE joins Advanced Electron Beams’ other investors: Atlas Venture, General Catalyst and RockPort Capital.
About GE Energy Financial Services
GE Energy Financial Services’ 400 experts invest globally with a long-term view, backed by the best of GE’s technical know-how and financial strength, across the capital spectrum and the energy and water industries, to help their customers and GE grow. With $19 billion in assets, GE Energy Financial Services, based in Stamford, Connecticut, invests more than $5 billion annually in two of the world’s most capital-intensive industries, energy and water. For more information, visit http://www.geenergyfinancialservices.com/
GE (NYSE: GE) is a diversified global infrastructure, finance and media company that is built to meet essential world needs. From energy, water, transportation and health to access to money and information, GE serves customers in more than 100 countries and employs more than 300,000 people worldwide. GE is Imagination at Work. For more information, visit the company’s Web site at http://www.ge.com/ohttp:/www.ge.com/.
About Advanced Electron Beams
Advanced Electron Beams (AEB) enables the green factory of the future with its energy efficient, cost-saving, environmentally sustainable technology. AEB replaces traditional thermal and chemical production processes with its compact electron beam emitters that harness electrons to enable cleaner, less expensive and more efficient production. AEB’s emitters are used in common processes such as sterilization, curing, polymer treatment and pollution abatement across industries including pharmaceutical and medical device, food and beverage, printing and packaging, industrial coatings and plastics manufacturing. For more information about Wilmington, Mass,-based AEB, visit: http://www.aeb.com/.