Brazilian startup Mombak has raised $30 million in a funding round led by Union Square Ventures. The company is focused on reforesting degraded lands in the Amazon and selling carbon credits. Funds will help scale operations, with goals to plant 8 million trees by June. Mombak has secured significant contracts and investment in the growing carbon removal sector.
Mombak, a Brazilian reforestation startup, has successfully raised $30 million in a funding round led by Union Square Ventures (USV), signaling heightened investor interest in Brazil’s carbon removal sector. The announcement was made on Tuesday, as Mombak continues to establish itself as a key player in the restoration of degraded lands back to Amazon rainforest standards. The company is dedicated to planting native species and subsequently selling carbon credits to companies seeking to offset their emissions voluntarily.
This latest financial boost, part of a Series A round, saw participation from established investors including Kaszek, Bain Capital, and AXA IM Alts, alongside new contributions from Lowercarbon Capital and Copa Investimentos. Mombak revealed that the funds will primarily support the scaling of its business operations. Currently, the company has planted 5 million native trees across 45,000 acres—approximately three times the size of Manhattan—and aims to increase that number to 8 million by June.
Mombak co-founder Gabriel Silva emphasized the transition from a startup to a scale-up, stating, “We decided it was time to have a new capital round to invest in this new phase: taking our initial business and doing it in a much larger scale.” This development reflects the increasing activity in Brazil’s carbon removal landscape, which has seen other projects emerge, like those from Biomas and re.green, backed by notable investors.
The sector has garnered interest from major firms, including Google, Microsoft, Meta, and McLaren Racing, all of whom have entered into agreements to procure carbon credits from Brazilian initiatives. Mombak has secured around $150 million in carbon removal contracts and anticipates that figure could quadruple within the year. Since its inception in 2021, the startup has accumulated approximately $200 million in investments.
Andy Weissman, USV’s managing partner, expressed confidence in Mombak’s future, stating, “We believe that carbon removal will be one of the defining industries of the 21st century. We’re proud to support Mombak’s mission to turn the Amazon into a global engine for climate restoration.”
In conclusion, Mombak’s recent $30 million funding round underscores the growing momentum within Brazil’s carbon removal sector, driven by increasing global demand for sustainability. With ambitious planting goals and significant contracts in place, Mombak is well-positioned for expansion. As prominent firms also engage with Brazilian projects, the future looks bright for reforestation efforts—significantly as climate change becomes an urgent priority for industries worldwide.
Original Source: www.marketscreener.com
