Coloreel Group AB, with its unique and patented on-demand technology for digital dyeing of textile thread, has raised SEK 70 million (US $ 8.14 million) in a private placement to existing and new shareholders.
According to the Swedish company, the funding will accelerate its endeavour of growth in the market and initiate expansion into new application areas such as sewing.
Joakim Staberg, Founder and Owner, Coloreel, commented, “In this private placement, we bring in a number of exciting and strong investors alongside the existing major shareholders, Robur Ny Teknik, SEB Stiftelsen, Svea Ekonomi and Ilija Batljan, who also participated in this placement,” adding, “We now receive more and more new expressions of interest from additional investors which feels very exciting.”
It’s worth noting here that Coloreel’s technology for on-demand digital dyeing of textile thread gives embroidery manufacturers and fashion designers a number of significant competitive advantages, minimising the environmental impact.
The embroidery market is large and includes about 8 million installed embroidery heads worldwide, as claimed by Coloreel that further goes on to say that each of these embroidery heads can be equipped with its technology.
Despite the ongoing pandemic, Coloreel, with the help of existing distributors, has delivered its technology to eleven countries in Europe, the USA and Asia, albeit in limited volumes. It has also started business with the world’s largest distributor of embroidery machines, US-based Hirsch Solutions, which has already installed the technology with several reputable end-customers in the US.
As Coloreel reports that it is noticing a significant increase in business activities as more and more markets open up, its CEO Mattias Nordin, asserted, “Larger orders such as the one recently announced from Tryckhuset AB is great proof that we are on the right track in our ambition to modernise the use of embroidery in the textile industry.”
