Today, Aira announces the completion of a €145 million Series B financing round with leading climate tech investors from Europe, the US and Asia. The financing was significantly oversubscribed and upsized from its initial €85 million target. The transaction was led by Altor, Kinnevik and Temasek. The equity funding will allow Aira to further accelerate the electrification of residential heating in Europe to enable European households to reduce their energy bills, to drive decarbonisation, and to reduce dependency on imports of natural gas.

The Series B round was led by Altor, Kinnevik and Temasek and also includes the Burda family, Collaborative Fund, Creades, Lingotto, Nesta Impact Investments and Statkraft Ventures. Aira was originally founded by Vargas and subsequent growth financing included a Series A financing of €35 million from a group of investors including Vargas, senior management, a broader group of committed employees, and related individual investors.

The new capital will further spearhead Aira’s ambition to take Europe off gas. There are still 130 million fossil fuel-based boilers in use and consequently, residential heating is the third-largest source of CO2 emissions, representing 10% of Europe’s total CO2 emissions. By switching from a gas boiler to an air source heat pump with Aira’s innovative and accessible, clean energy-tech solution, consumers can reduce their household heating costs by up to 40% and CO2 emissions by 75%, rising to 100% if fossil-free energy is used as the source of power for the heat pump.

In addition to the equity funding, the Polish government has granted Aira €15 million for the establishment of a state-of-the-art manufacturing site in Poland to produce heat pumps. In total, Aira has secured €195 million in equity funding and grants, establishing a strong foundation to support its ambitious long term growth objectives.  

Aira is well-equipped to accelerate the electrification of residential heating

Carl-Erik Lagercrantz, board member of Aira says:

"With the completion of the Series B financing round, Aira has secured robust funding, setting the stage for a rapid expansion of its pan-European platform. This funding will accelerate the company’s strategy to drive the electrification of residential heating – reducing both household heating bills and carbon emissions across Europe.”