Canton, Michigan-based Fusion Coolant Systems is a company that has developed an advanced coolant used in manufacturing. And Fusion Coolant Systems has raised $8 million in Series C funding led by Material Impact and Michigan Capital Advisors, according to Xconomy. Existing investors that participated in this round also included U of M’s Michigan Investment in New Technology Startups (MINTS), Amherst Fund, and Invest Michigan.
While water is typically used for cooling equipment for manufacturing, but this can cause toxic sludges of chemical runoff. Fusion Coolant has created an alternative that uses supercritical carbon dioxide for cooling and lubricating machinery without having to use water. And this leads to cost savings and less waste for manufacturers.
“This is growth capital,” said Fusion Coolant founder and CEO Steve Skerlos via Xconomy. “It’s time to hit the go button.”
With this round of funding, Fusion Coolant Systems plans to expand operations and hire more team members in sales and engineering.
Fusion Coolant Systems’ products are also used as a cutting fluid, which is a lubricant in metalworking procedures such as stamping and machining. This fluid also allows for “unprecedented heat removal potential and lubricity.” Fusion Coolant’s customers are spread across the biomedical, aerospace, and automotive sectors.
“The biomedical industry has figured out we have something, and it’s been our springboard to commercial success,” added Skerlos via Xconomy. “The technology can apply anywhere you cut metal or plastic.”
Since the company was founded in 2011, Fusion Coolant Systems has raised more than $10 million total.
In terms of growth, Skerlos is expecting Fusion Coolant Systems to double revenues from last year. And Skerlos emphasized that the company wants to grow quickly without losing its culture as new applications are built.