Phospholutions Inc., a sustainable fertilizer technology provider based in State College, Pa., has announced an additional $10.15 million investment from leading global fertilizer companies and investors to accelerate the commercialization of RhizoSorb® in the US row crop market.
The financing was led by Advantage Capital and includes continued investment from Conti Ventures (a division of Continental Grain Co.), Tekfen Ventures, Maumee Ventures, and Ben Franklin Technology Partners. Keytrade, a global fertilizer trader, also joins as a new investor.
“We are pleased to welcome new investors like Advantage and Keytrade supporting our efforts to accelerate commercialization of our phosphate efficiency technology,” said Jason Burke, Vice President of Finance for Phospholutions. “Additionally, the continued support from our existing investors really fortifies what we are doing to bring new sustainable fertilizers to the US farmer.”
“We are thrilled to engage in the advancement of the fertilizer industry and to invest in a company dedicated to shaping the future of phosphorus,” said Melih Keyman, Keytrade President and CEO. “This pioneering solution offers producers an opportunity to embrace sustainable technology and enhance conventional fertilizer production while also extending the value to the farmer, creating a more environmentally friendly and economically viable approach.”
Phospholutions said RhizoSorb® is the only patented technology incorporated upstream into the production process for conventional phosphates that reliably reduces phosphorus applications by up to 50%, maintaining yield and improving retail margins while providing a cost savings benefit to the farmer.
The company said RhizoSorb® is proven to deliver the same amount of phosphorus to the plant with half the amount of applied fertilizer. RhizoSorb® 8-39-0 was launched in the US row crop market this past spring, and Phospholutions has added three new Regional Managers and a Director of Agronomy to support sales to ag retailers in North America.
Phospholutions said RhizoSorb has been proven to benefit farmers in five countries outside the US, including India, New Zealand, and Turkey, and it will be expanding field trials into China, Brazil, and Canada during the 2024 growing season.
The company said the technology has been proven to reduce the environmental impact of phosphate fertilizer by reducing runoff potential by 58%, leaching by 87%, and greenhouse gas emissions associated with conventional use of traditional MAP sources by more than half. It said phosphate manufacturers also see a reduction in production costs and an increase in margin that outweighs the reduction in applied volume per acre compared to conventional phosphate sources.
Phospholutions was recently awarded first place in the International Fertilizer Association’s African Agtech Startup Showcase, hosted in partnership with Mohammed VI Polytechnic University (UM6P). The competition was aimed at agtech startups working on innovative solutions that can be adapted to the African context to ensure the sustainability and inclusivity of its agriculture.