Kaly Group was founded in 2022 to explore the potential for seaweed farming as a new source of income and jobs for coastal communities on the Isle of Skye.
Photo: Kaly Group.
A Scottish seaweed start-up aiming to tap into Europe’s burgeoning £9 billion seaweed market has secured a six-figure investment to expand its operations along the country’s west coast.
Kaly Group, founded in 2022 to explore the potential for seaweed farming as a new source of income and jobs for coastal communities on the Isle of Skye, has raised £300,000 in a funding round led by TRICAPITAL Angels, with additional support from Scotland's national economic development agency, Scottish Enterprise.
The funds will be used to scale Kaly's seaweed farming operations, which began on the Isle of Skye earlier this year, and to build an integrated and sustainable supply chain.
Scotland’s extensive coastline means it could capture a significant share – potentially £2 billion – of Europe’s seaweed market, projected to hit £9 billion by 2030, according to Scottish Enterprise, which also forecasts that with full-scale processing facilities, the seaweed sector could create over 550 jobs across the Scottish supply chain.
“We are proud to back this exciting and innovative business as it seeks to establish a large-scale, profitable, and environmentally sustainable seaweed-based supply chain to support the food, nutrition, and chemicals industries," said Moray Martin, CEO of TRICAPITAL Angels, in a Scottish Enterprise press release.
“There is growing investor interest in the blue economy and our angels are enthusiastic about seaweed’s potential for creating economic growth in coastal and rural areas, delivering environmental and health benefits, and producing a diverse range of lower-carbon products," Martin added.
Kaly Group, described as a "joint effort between fishermen, aquaculture specialists, accomplished entrepreneurs and finance professionals to responsibly realise the potential for a Scottish seaweed industry", indicates on its website that it believes in taking a "more holistic approach to working the sea through protection, restoration, and marine conservation".
“Kaly’s vision is to unlock the full potential of seaweed farming in Scotland, creating a sustainable supply chain that benefits local communities while driving economic and environmental gains,” said Kaly Group co-founder Daniel Hillman.
The seaweed company is collaborating with other marine stakeholders to ensure that its farming initiatives align with ecological and community needs, Hillman said. The company intends to address supply chain challenges, from biomass cultivation to the production of high-value products, to advance the scalability of the UK’s seaweed sector.
“We are thrilled by the continuing support from TRICAPITAL and Scottish Enterprise, which will help us take critical steps toward scaling this exciting industry," Hillman added.
Kerry Sharp, Director of Entrepreneurship and Investment at Scottish Enterprise said: “This investment underscores our commitment to using our world-class innovation capabilities to increase the number of ambitious companies scaling up in Scotland."
“By helping these companies grow, we aim to create high-quality, high-value jobs and empower them to compete and lead in global markets," Sharp added.
