PowerUP Energy Technologies has successfully closed a €10 million Series A funding round. This capital injection is set to accelerate the manufacturing and commercial rollout of their hydrogen electric generators.
The investment was jointly led by dual-use venture firms Mercaton and ScaleWolf. They were joined by Estonia’s SmartCap Green Fund, which is backed by the European Union’s NextGenerationEU, alongside significant participation from previous backers. While the exact valuation remains undisclosed, the funding marks a significant step for the company as it scales its technology known for reliability in extreme conditions.
PowerUP distinguishes itself through a specific focus on dual-use technology. They provide energy systems for the defense sector while simultaneously servicing essential commercial needs like telecommunications. Their technology recently gained international attention for being reliable in harsh environments, including active deployment and validation in Ukraine. This performance highlights the product's ability to ensure energy sovereignty for customers who require national security grade independence.
“PowerUP was founded on a clear mission: to deliver clean, reliable energy solutions. While other technologies are still being tested in labs, ours has already been battle-tested on the front lines in Ukraine. This is the very definition of dual-use innovation: a cleantech solution that has been forged and validated by the urgent needs of defence,” said Ivar Kruusenberg, Founder and CEO of PowerUP Energy Technologies. “This capital will directly allow us to expand our network of resellers, distributors and partners in defence and in the commercial sector.”
The company plans to deploy this €10 million injection to satisfy rising demand across both sectors. A major priority is building out sales and technical support teams to enter new commercial markets. They are specifically eyeing backup power solutions for critical infrastructure where failure is not an option.
PowerUP is also establishing strategic hubs in core markets such as Central Europe and North America. This local presence will help them offer better service and capture growing international interest in resilient energy solutions. Additionally, part of the funding will speed up the development of higher density fuel cell models to meet diverse power requirements.
Founded in 2016, PowerUP Energy Technologies creates modular hydrogen fuel cell solutions. These generators range from defense applications to industrial and off grid uses. Their systems offer silent and emission free operation. This makes them perfect for sensitive military forward operating units or civilian infrastructure like telecom towers and shelters.
The technology actually has its roots in space exploration. It was first engineered for missions with the European Space Agency. Now, that same engineering answers the strict demands of the defense sector by offering energy independence in remote locations.
The lead investors bring specific expertise to the table. Mercaton Investment Group focuses on deep tech and security across Central and Eastern Europe. ScaleWolf acts as a unique fund and accelerator for dual use technologies, helping companies in Lithuania and the region grow their defense and commercial business lines. SmartCap, Estonia’s state owned fund manager, aims to drive sustainable innovation through its Green Fund.
“At ScaleWolf, we value technologies that strengthen security and resilience where it matters most. PowerUP has shown that its systems can deliver dependable power in demanding environments, supporting both defence missions and essential civilian operations. We are proud to back a team that turns proven performance into meaningful dual-use capability,” said Dave Harden, Partner at ScaleWolf.
Sille Pettai, Managing Director of SmartCap, added: “PowerUP is a great example of a broadly applicable green technology company that can capture the changing market opportunities of green transition and quickly address new market needs in defence. PowerUP develops and manufactures hydrogen fuel cell generators as main power, backup power or battery extender solutions for reliable and sustainable energy. This has also turned to be a critical technology for modern defence and security applications, like enabling advanced communication networks and surveillance systems with low noise, vibration, and heat signature, where choice of tech is driven first and foremost by reliability and performance rather than climate objectives.”
