Submer announced an investment round of $55.5 million, led by M&G, a leading investment company with £346.1 billion assets under management as of June 2024. The funding comes from its £5 billion purpose-led Catalyst strategy. Among existing investors, Planet First Partners and Norrsken VC reinvested alongside M&G and, together with Mundi Ventures, reaffirmed their support as strong backers of Submer’s strong financial position and growth potential.
With the age of rising chip thermal design power (TDP) and demand driven by innovative applications like AI, data centers are consuming vast amounts of energy and water. Estimates indicate that the global AI demand may even require billions of cubic meters of water withdrawal in 2027, which would be 4 to 6 times Denmark’s total annual withdrawal and half that of the United Kingdom.
Traditional air-cooling and other liquid cooling methods are becoming increasingly inadequate, and immersion cooling emerges as the sustainable and scalable solution to help solve these key challenges. Submer’s goal is to build sustainable, waterless data centers and lead the way to a greener future, to make a difference and contribute to a fairer, more efficient, planet-friendly data center industry landscape.
This new investment ushers Submer into its next phase of growth. And the funds will enable the company to capitalize on new business opportunities, boost customer acquisition, and support clients in their growing infrastructure needs while complying with environmental regulations.
Submer already outlined plans for global expansion, with an immediate focus on increasing its presence in key markets such as the U.S. and APAC regions. And this funding marks the beginning of several key announcements in Submer’s pipeline, particularly regarding its expansion in the US and APAC region. As Submer continues to innovate and expand, the company is set to play a crucial role in shaping a more sustainable, energy-efficient future for datacenters worldwide.
Barclays Bank Ireland acted as placement agent to Submer.
KEY QUOTES:
“We are grateful for the strong interest from investors and are thrilled to partner with the ones who align with our sustainability values. With this strong backing, we are very well positioned to continue to lead the liquid immersion cooling market and meet the growing demands of hyperscale datacenters, enabling us to scale faster with our customers, while remaining focused on driving both growth and meaningful impact in our industry.”
— Pol Valls, Founder & CFO at Submer
“As the global demand for AI and data capacity accelerates, we see Submer’s technology as a critical solution to alleviate the intensive energy and water requirements of digital infrastructure. We are excited to be supporting the company at this important time as they scale their products and services globally.”
— Global Head of Catalyst Investments at M&G, Niranjan Sirdeshpande
“Planet First Partners is pleased to welcome M&G and to renew its commitment to Submer on this latest funding round alongside Norrsken. We believe that the sustainability of datacentres is of paramount important for the growth of the global economy. Submer is uniquely positioned to mitigate the digital industry’s challenges for cooling new and more powerful processors, and to mitigate its fast-growing footprint, securing sustainability credentials and social license to operate with strong ROI.”
— Frédéric de Mévius, Executive Chairman at Planet First Partners
