London-based venture capital firm AP Ventures has closed its third investment fund with €269.62 million ($300 million) in commitments, reinforcing its focus on early-stage startups developing technologies for industrial transformation, energy security, and a lower-carbon economy. The fund’s final close marks a significant milestone for the firm as demand grows for practical solutions to some of the most complex challenges facing global industries.
Announced on October 28, 2026, AP Ventures Fund III has already invested in 13 portfolio companies since its initial close in 2024. The fund brings together a diverse group of investors, including sovereign wealth funds, corporate investors, pension funds, and family offices, reflecting continued institutional interest in technologies that can improve industrial productivity and strengthen critical supply chains.
Unlike investment strategies focused primarily on digital-first businesses, AP Ventures concentrates on technically advanced solutions with the potential to reshape the physical economy. Its portfolio spans energy systems, advanced materials, carbon management, and resource-efficient industrial processes—areas where innovation can deliver measurable operational and environmental benefits.
A Strategic Bet on the Future of Industrial Technology
The fundraise comes at a time when industries are navigating rising electricity demand, supply-chain vulnerabilities, increasing pressure to decarbonise, and the growing integration of artificial intelligence and automation into industrial operations.
These shifts are creating opportunities for startups that can make energy systems more reliable, reduce dependence on constrained raw materials, improve manufacturing efficiency, and develop commercially viable alternatives to carbon-intensive processes. AP Ventures aims to support companies addressing these challenges, particularly in sectors where reducing emissions and modernising infrastructure remain technically demanding.
Led by Founder and Managing Partner Andrew Hinkly and Partner Kevin Eggers, the firm invests globally in early-stage companies, typically at the Seed and Series A stages. Beyond providing capital, AP Ventures works with founders as they navigate technical development, commercialisation, industrial deployment, and business expansion.
Andrew Hinkly said the successful fund close reflects existing and new investors’ confidence in the firm’s ability to identify and support technology companies that address real industrial needs. The additional backing enables AP Ventures to continue investing in solutions designed to make industry more productive, resilient, and secure.
From Hydrogen Innovation to a Broader Industrial Transformation
AP Ventures traces its origins to Anglo American Platinum’s platinum-group-metal investment programme. The initiative recognised the potential of these materials in emerging technologies, including fuel cells and hydrogen-related applications. In 2018, the investment operation became an independent venture capital firm, expanding its ability to back companies developing commercially relevant industrial technologies.
With Fund III, the firm’s investment strategy extends across several interconnected areas:
- Low-carbon molecules: Technologies for producing, storing, transporting, and using hydrogen and other lower-carbon fuels.
- Carbon capture and utilisation: Solutions that capture carbon dioxide and convert it into useful products or industrial inputs.
- Circularity and advanced recycling: Innovations that recover valuable materials, reduce waste, and limit reliance on finite resources.
- Industrial and energy efficiency: Technologies that improve productivity, infrastructure resilience, and the performance of energy-intensive operations.
The fund targets applications across chemicals, steel, aviation, heavy mobility, and other hard-to-abate sectors. These industries require substantial technological progress to reduce their environmental footprint without compromising performance, reliability, or commercial viability.
13 Startups Bringing Industrial Innovation to Market
The fund’s existing portfolio illustrates how emerging technologies can address challenges across energy production, construction materials, water treatment, textiles, and sustainable fuels.
- Teragen Energy — Cleaner Power for Data Centres
The startup develops metal-supported solid oxide fuel cells designed to provide on-site power for data centres and other critical infrastructure. Its technology addresses the growing need for dependable electricity as digital infrastructure expands.
- Aether Fuels — Turning Waste into Fuel
The Chicago-based company converts industrial waste gases, biogas, and waste biomass into liquid fuels designed for applications such as aviation and shipping, creating potential alternatives to conventional fossil-based fuel supplies.
- CREW Carbon — Rethinking Wastewater Treatment
The company uses a mineral-based process to replace conventional wastewater treatment chemicals. Its approach aims to reduce operating costs and supply-chain exposure while generating carbon removal credits.
- Rosy Soil — Sustainable Alternatives to Peat
Rosy Soil produces patented peat-free potting soils made using biochar, offering an alternative to conventional peat-based materials while supporting plant health and carbon storage.
- Reclinker — Making Cement More Circular
The Cardiff-based startup uses the electric arc furnace process associated with steel production and recycling to transform used cement into material meeting Ordinary Portland Cement specifications.
- Lydian Labs — Flexible Synthetic Fuel Production
Lydian Labs develops modular reactors that use electricity, water, and carbon dioxide to produce synthetic fuels. The technology is designed to adapt production to changing electricity availability.
- Rubi Laboratories — Transforming Carbon into Textile Materials
The San Francisco-based company converts carbon dioxide into high-purity cellulose for textile fibres, including materials used in viscose and lyocell production. Its approach could offer the textile industry an alternative source of raw materials.
Portfolio descriptions are based on the fund’s reported investments. The seven companies above are selected examples from its 13-company portfolio.
Beyond Capital: Supporting Commercialisation and Scale
For industrial technology startups, securing investment is only one part of the journey. Many must validate complex technologies, demonstrate their performance in real-world conditions, establish industrial partnerships, and move from pilot projects to commercially viable operations.
AP Ventures positions its investment approach around these challenges. By connecting portfolio companies with financial and industrial partners, the firm seeks to help founders navigate technical milestones and accelerate deployment. Its presence in London, Johannesburg, and San Francisco also supports its global investment strategy.
Kevin Eggers has emphasised the importance of backing technically differentiated businesses that solve practical operational problems. The firm’s investment philosophy centres on the relationship between technical innovation and commercial demand, with potential benefits spanning energy efficiency, resource productivity, environmental performance, safety, and supply-chain resilience.
What AP Ventures Fund III Means for the Industrial Tech Ecosystem
The €269.62 million fund highlights the importance of specialised venture capital in bringing complex industrial technologies closer to commercial adoption. As companies face pressure to modernise infrastructure, secure critical materials, and transition towards lower-carbon operations, early-stage innovators are increasingly important to the development of practical solutions.
However, the ultimate impact of these investments will depend on how successfully portfolio companies translate technical progress into reliable products, industrial deployments, and sustainable business models. Technologies that perform effectively at scale will be better positioned to attract customers and contribute to broader industrial transformation.
With 13 companies already in its portfolio, AP Ventures Fund III has begun deploying capital across a diverse range of technologies. Its next phase will focus on helping these businesses progress through commercialisation and expansion.
The fund’s completion therefore represents more than a fundraising milestone. It signals a continued investment in the technologies that could help shape the next generation of industrial infrastructure, energy systems, and resource-efficient manufacturing.
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