Organic Heat Exchangers Limited Secures £232k Seed Funding to Advance Thermal Energy Storage

Organic Heat Exchangers Limited, a clean technology manufacturer based in Thornton-Cleveleys, has secured an estimated £232k in a new seed funding round. The investment brings the company to an estimated post-money valuation of £20.4m.

Incorporated in October 2016, Organic Heat Exchangers Limited develops and manufactures EnergiVault, a proprietary thermal energy storage system. The technology utilises phase change materials to store cold energy specifically for industrial and commercial cooling applications.

Industrial and commercial refrigeration requires significant electricity, typically drawing power during peak grid times when energy is most expensive and carbon-intensive. EnergiVault addresses this structural inefficiency by acting as a thermal battery. The system's phase change materials absorb and release large quantities of thermal energy when transitioning between physical states. This allows operators to charge the system by storing cold energy during off-peak periods, such as overnight, when grid demand is lower and electricity is cheaper. The stored cold energy is then discharged during the day to handle peak cooling loads, directly reducing operational costs and carbon footprints.

According to its latest accounts, the North West based company operates with a team of five employees. Financial metrics regarding revenue and profit or loss have not been publicly disclosed for this period.

The latest seed round injects £232k of fresh capital into the business. The shares were allotted on October 21, 2025, with the official filing recorded on March 16, 2026. While the specific investors participating in this round have not been named, the £20.4m estimated post-money valuation indicates substantial market confidence in the EnergiVault technology. Information regarding previous funding rounds is not currently available for comparison.

This investment occurs against a complex backdrop for UK climate technology funding. The broader UK climate tech sector has shown resilience, with startups raising £4.5 billion in 2024, representing a 24 percent increase from the previous year. However, capital distribution has become increasingly skewed toward software. Hardware-led climate ventures have faced notable headwinds, with industry data revealing that hardware-focused climate tech investment in the UK fell from £1.61 billion in 2022 to £1.25 billion in 2024.

Despite these hardware funding challenges, energy storage remains a critical priority for industrial decarbonisation. The energy sector consistently attracts a major portion of UK clean technology investment, accounting for roughly 40 percent of the market. Thermal energy storage is gaining traction as a necessary tool for industries that cannot rely solely on standard lithium-ion batteries, which are often cost-prohibitive for large-scale thermal management. By securing this seed funding, Organic Heat Exchangers Limited is positioned to further commercialise its phase change technology and address the high energy demands of the commercial cooling sector.