The Weekly Deal CW11/24 - Novac
The Weekly Deal CW11/24 - Novac
One startup to watch, once a week. This week we talk about Novac, an Italian startup that plans to produce solid state, shapeable supercapacitors.
#mobility #sustainability #aerospace
🥜 In a nutshell
Company: Novac
Industry: Energy Storage, Nanotechnology
Sub-Industry: Supercapacitors
Year Founded: 2020
HQ: Modena, Italy
Stage: Seed
Founders: Matteo Bertocchi, Loris Bruzzi, Aldo Girimonte, Alessandro Fabbri
Funding Amount: 1.1M€
Main Investors: CDP Venture Capital Sgr, Eureka Venture, Plug&Play
In a sentence: Novac Supercap aims to revolutionize energy storage with solid-state, shapeable supercapacitors targeting markets such as the automotive, aerospace, e-bikes, and electric boats industries.
🔭 The Context
Novac Supercap emerges at a pivotal moment in the energy storage landscape, where the demand for rapid charging, high-performance solutions intersects with the need for innovative, shapeable technologies. As industries seek to optimize efficiency and safety, Novac's focus on solid-state supercapacitors signals a significant advancement in energy storage capabilities.
What’s the buzz with Supercapacitors?
Supercapacitors, also known as ultracapacitors or electrical double-layer capacitors (EDLCs), offer distinct advantages over traditional batteries. While batteries provide high energy density but slower charging times, supercapacitors excel in rapid charge and discharge cycles, making them ideal for applications requiring quick bursts of power.
Why solid state?
The move towards solid-state supercapacitors represents a significant leap forward in energy storage technology. Unlike traditional supercapacitors that use liquid electrolytes, solid-state designs offer improved stability, safety, and longevity, making them well-suited for demanding environments such as automotive and aerospace applications.
Furthermore, solid-state supercapacitors eliminate the risk of electrolyte leakage or thermal runaway, mitigating safety concerns and enhancing reliability in critical systems.
What sets Novac apart?
Novac's supercapacitors are entirely solid-state, eliminating the risks associated with liquid electrolytes. This key feature not only enhances safety but also extends the operational lifespan of the supercapacitors, making them a reliable choice for a wide range of applications.
The Novac supercapacitor is also completely shapeable. It is possible to adapt it to different surfaces and volumes for each individual case, thus reducing the overall dimensions and facilitating the design. The integration of a supercapacitor has never been so pleasant.
Applications Across Industries
Novac Supercap's innovative technology finds applications in various sectors, including hybrid and electric hypercars, high-performance e-bikes, aerospace, and electric boats. By enhancing vehicle performance and efficiency, our supercapacitors pave the way for a future where electric mobility is not just a possibility but a reality.
The Future of Energy Storage
Novac Supercap's proprietary technology holds promise for various industries, from electric vehicles to renewable energy systems. By offering high-power density, rapid charging capabilities, and shapeable form factors, Novac's supercapacitors pave the way for next-generation energy storage solutions.
In summary, Novac Supercap is poised to disrupt the energy storage market with its innovative approach to solid-state supercapacitors. With a focus on performance, flexibility, and safety, Novac aims to drive the adoption of clean energy solutions across multiple sectors, ushering in a new era of sustainable mobility and power generation.
🔍 Some Info
📈 Market Size → €2.4B
This estimate has very positive growth forecasts, with a CAGR of 18% estimated up to 2024. The market includes various macro sectors of application such as Automotive, Electric mobility, Renewable energies, Aerospace, Consumer electronics.
👨🏻🔬 Technology & IP → 6 patents filed
The company has filed six patents up to now. Some of them has been already granted in Italy and are in the international phase, while the most recent are pending in Italy. These are about the supercapacitor production process, the proprietary current collector (UCC - Universal Current Collector) and the solid state electrolyte.
🛒 Business Model → B2B
The business model of Novac starts with the development of innovative materials for energy storage systems. This allows first to internally manufacture supercapacitors that are embedded into carbon fiber and then sold to the OEMs of electric vehicles. As a next step, Novac is planning to run a second revenues stream by licencing its materials to standard lithium batteries manufacturers to increase the performance of their products.
🤝 Team → 4 co-founders + growing team
Novac boasts a strong founding team led by CEO Matteo Bertocchi, with Aldo Girimonte as CTO, leveraging his materials engineering background, Loris Bruzzi as COO, and Alessandro Fabbri as CPO overseeing PoCs. The R&D team, including professionals like Material Scientist Bruno Grandinetti, Ph.D., and Industrial Chemist Stefano Chiavegato, brings expertise in materials engineering, electronics, vehicle engineering, and chemistry. Recent additions for simulations, R&D, and marketing further enhance Novac's diverse capabilities, positioning it for excellence in high-performance energy storage materials, particularly supercapacitors.
💰 Financials → 1.1M Pre-seed funding
Novac has successfully raised 1,1 million euros in pre-seed rounds, demonstrating strong investor confidence. With plans to initiate their production line in Q2 2025 and a targeted seed round of 6 million euros by Q1 2025, Novac is on track to scale their operations effectively. Their financial roadmap includes internal R&D developments, pilot completions, and a strategic plan to enter the standard battery sector, which will create additional revenue streams through licensing and royalties.
🥊 Competitors → Maxwell, Skeleton, Nanoramic but without scale
In the fast growing supercapacitors sector there are mass production players, like Maxwell and Skeleton, and projects for embedding cells in shapeable structures like Nanoramic or Lamborghini&MIT. None of these players merges a scalable production process (standard pouch cells manufacturing) with a solid state, shapeable cell with format freedom and flexibility for customers needs.
❓Q&A with the Team
I had the chance to ask some questions to Matteo Bertocchi, Founder and CEO at Novac Supercap.
1. Why are you the best team to build this?
This multidisciplinary approach, combined with our commitment to innovation in energy storage, positions us as leaders in the field. Our team was born in University from 4 students that have been all committed to the project since then. Our team's background is deeply rooted in the Motor Valley tradition of excellence, and we carry this heritage into a future of sustainable energy solutions, mixing the world of academic research with an industrial focus
2. What progress has been made?
Novac has made significant strides in its product development. We have established our own laboratory to conduct R&D internally, and we are on the cusp of completing our first pilots. This milestone is a testament to our progress and lays the groundwork for the next stages of growth. With the pilot completion scheduled for 2024, after the prototype completion in late 2023, and the production line startup projected for Q2 2025, we are swiftly moving from concept to market readiness.
3. What is your fundraising situation?
Financially, Novac has successfully raised 1,1 million euros in pre-seed rounds, reflecting strong investor confidence. Our immediate goal is to secure a 6 million euro seed round by the beginning of 2025, which will enable us to initiate our production line by the first half of 2025. This funding will not only support our operational activities but also enhance our capabilities to explore additional revenue streams in the battery sector.
3. What are your next steps?
Looking forward, Novac is poised to enter the next phase of development with a clear roadmap. Post-pilot, we aim to commence the production line and kickstart mass production. Our business model pivots on direct sales or IP licensing of our developed solutions, targeting energy storage device manufacturers and selling shapeable supercaps through partnerships with industrial players to electric vehicle OEMs. Additionally, we plan to validate our embedded supercap and scale up for market debut, with the prospect of licensing our materials to Gigafactories by 2027.
Many thanks to Matteo for the interesting conversation!
👨🏻💻 My Critical View
Novac shows a promising technology and value proposition in the energy storage sector, but critical considerations include:
Technology Validation and Production: Novac's success relies on advancing its solid-state supercapacitor technology from R&D to commercialization. Pilot results will validate Novac's technology scalability and performance. Finding a strategic partner to assist with pilot execution and scale-up is critical for success. Investors should monitor scalability, manufacturing efficiency, and performance consistency closely, as any setbacks could impact market competitiveness.
Regulatory Compliance: Stringent industry regulations in aerospace and automotive sectors require Novac's supercapacitors to meet safety and performance standards. Non-compliance may lead to delays or rejection by customers, affecting revenue.
Supply Chain Resilience: Evaluating Novac's supply chain strategy is crucial to mitigate disruptions and ensure uninterrupted production. Investors should assess raw material sourcing, manufacturing, and logistics to identify vulnerabilities.
Market Adoption and Competition: Novac faces competition from established players and emerging projects, necessitating differentiation and effective market penetration. Investors should assess Novac's competitive positioning and customer traction.
Customer Integration Challenges: Integrating Novac's supercapacitors into existing systems may pose compatibility and complexity challenges. Investors should evaluate Novac's approach to customer integration to ensure seamless adoption and satisfaction.
Intellectual Property Protection: Novac's intellectual property portfolio represents a key asset for market differentiation. Investors should assess the strength and enforceability of Novac's patents to safeguard against infringement risks.
Financial Viability and Scalability: Securing additional funding, achieving production milestones, and generating sustainable revenue streams are essential for Novac's long-term viability. Investors should evaluate Novac's financial projections and operational efficiency.
Addressing these aspects will be crucial for Novac’s future success.
Stay tuned to discover the next startup on The Weekly Deal!