Gothenburg-based agricultural technology company OlsAro has successfully closed a €5 million seed investment round.

The financing round was led by Industrifonden, with Nordic Foodtech VC acting as co-lead. They were joined by returning investors including Future Food Fund, PINC (Paulig’s venture arm), AgFunder, and GU Ventures.

This latest infusion of capital brings OlsAro’s total funding to approximately €7.5 million (around US$8.4 million), following a €2.5 million pre-seed round in April 2024.

Climate-resilient cereal genetics

As climate change accelerates extreme weather patterns, global agriculture faces unprecedented threats from environmental stressors like soil salinity, heat, and drought. Approximately one-tenth of the world’s cropland is already affected by salinity alone.

To combat these growing crises, OlsAro leverages its proprietary SeedAX platform. The platform combines advanced data analytics, AI-driven trait discovery, and genetic technologies to identify and validate resilience traits before integrating them into elite germplasm for commercial seed programs.

OlsAro’s initial focus has been on wheat. Its flagship salinity-resilient wheat has demonstrated extraordinary real-world potential, delivering up to 41% higher yields than moderately salt-tolerant conventional varieties under harsh saline conditions in Bangladesh.

Commercial platform 

According to OlsAro CEO Elén Faxö, this funding round marks a pivotal transition from proven scientific research to a scalable commercial platform. The €5 million injection will enable the company to execute several key strategic objectives:

• Global field trials and commercialisation: The capital will support expanded international field trials and commercial partnerships with seed companies, bringing OlsAro’s first salinity-resilient wheat products closer to market.
• Expanding the pipeline (drought & nitrogen efficiency): OlsAro will advance new research and development programs targeting drought tolerance and nitrogen-use efficiency, extending its technological pipeline well beyond salinity and heat resistance.
• Broadening crop portfolios: beyond wheat, the funding will fuel expansion into other vital cereal crops, most notably rice.
• Enhancing AI and IP portfolios: the business will further invest in AI-driven trait discovery tools and expand its intellectual property (IP) portfolio.
• Scaling up the SeedAX platform: by scaling its operations, OlsAro aims to empower seed-company partners to introduce climate-resilient cereals to farmers faster and at a much broader scale.

Looking ahead

With strong backing from prominent venture funds and proven field results, OlsAro is well-positioned to play a transformative role in global food security. By equipping farmers with crops capable of thriving in degraded and climate-stressed soils, the company is turning scientific innovation into actionable solutions for the future of agriculture.