Kubik, a startup that focuses on upcycling plastic, has secured $3.34 million in funding to expand its production capabilities in Ethiopia before venturing into other African countries.
Among the investors who participated in the funding round are Plug and Play, Bestseller Foundation, GIIG Africa Fund, Satgana, Unruly Capital, Savannah Fund, African Renaissance Partners, Kazana Fund, Princeton Alumni Angels, and Andav Capital.
Kubik is an upcycling startup operating in Kenya and Ethiopia. The startup is at the forefront of efforts to reuse plastic waste and promote sustainability in Africa’s emerging recycling industry, which currently only recovers 4% of the waste generated.
The company specializes in transforming difficult-to-recycle plastics such as polyethene, polypropylene, and polystyrene into affordable building materials. Hence, it can remove 45,000 kg of plastic waste from landfills daily.
Founded by Kidus Asfaw and Penda Marre in 2021, Kubik aims to increase its production capacity at its Ethiopian facility later this year. The company asserts that it has the potential to construct over a quarter million square meters of wall surface area annually.
According to TechCrunch, the Chief Executive Officer (CEO) of Kubik stated, “This could enable the construction of up to 10,000 affordable homes per year. Speaking of affordable housing, there is a global deficit of over 300 million housing units considered affordable for the poor. This represents a market worth over $2 trillion, and we are just beginning to address it.”
The startup was recognized as Startup of the Year at the 2023 Global Startup Awards and was also hailed as the leading climate tech startup in Africa during the recent VivaTech conference.
Romain Diaz, co-founder of Satgana, a venture capital firm focused on climate technology, expressed enthusiasm for partnering with Kubik.
He said, “We are excited to invest in and collaborate with Kubik on their transformative journey. Their purpose-driven vision, exceptional team, and unique business model, which combines positive social impact, circular economy principles, and low-carbon construction, position Kubik as a scalable and sustainable solution to Africa’s most pressing challenges.”
Kubik specializes in the development of interlocking building materials, including bricks, columns, beams, and jambs.
These materials enable developers to construct walls without the need for cement, aggregates, and steel.
Kubik’s CEO assures that this does not compromise the structural integrity of the buildings, and the strength of walls built with Kubik’s products is comparable to cement-based walls.
Furthermore, Kubik’s products are cost-effective, with a 40% lower cost per square meter, and possess chemical properties that make them safe, non-flammable, and resistant to degradation. Additionally, these materials have a lower carbon footprint, emitting at least five times less greenhouse gases than cement-based products.
Mr Asfaw believes that the affordability of these materials can help address the current housing shortage, driven by rapid urbanization and the high costs of construction. While global calls for plastic waste reduction and the adoption of circular plastic usage continue, Kubik is actively driving change with its innovative solutions.
He stated, “Today, the world is experiencing rapid urbanization, and cities are grappling with the challenges of unmanaged plastic waste, unaffordable living conditions (especially in housing), and the impacts of climate change. Our company tackles all three of these challenges by offering a lower-carbon, cost-effective building solution that removes plastic waste from the environment. That’s why there is so much excitement surrounding our company and its mission.”
He further added, “We have a product that is revolutionizing sustainable and affordable construction. We envision ourselves as a company that will continue to drive technological advancements in materials for faster decarbonization of the built environment.”