Coral Vita, based in Freeport in the Bahamas, launched one of the world’s first land-based commercial coral farms in 2019, growing coral up to 50 times faster than in its natural environment (for background see, “New models for financing reef restoration in the Caribbean and beyond”).
Now it is among the first coral restoration-focused companies to raise Series A financing. Builders Vision, founded by Walmart heir Lukas Walton, led an $8 million+ round for Coral Vita, with participation from Katapult Ocean, iAlumbra, Aureolis Ventures, Colorado Coral, Rising Tide and others.
“Coral Vita and Builders Vision share the understanding that ocean health and economic health go hand in hand,” said Walton. He cited the company’s “cutting-edge genetic technology to enhance coral survivability” and “strong organic growth and sales from a diverse customer base.”
Investment opportunities
At the Blue Economy and Finance Forum held over the weekend in Monaco, stakeholders called attention to investable opportunities in the sector. “There is an urgent need to demonstrate the compelling business and financial case for ocean-positive investments,” declares a report by the World Economic Forum, the Ocean Risk and Resilience Action Alliance, Builders Vision and Katapult (see, “OK Doomer: These young entrepreneurs aren’t giving up on the climate or the oceans”).
Ocean conservation can support ecotourism and ecosystem services payments, for example. Plastic plastic upcycling and waste management keep oceans clean. And ocean-based wave, solar and tidal power are a new source of renewable energy.
The report identifies nearly a dozen funds focused on the sector, including Global Fund for Coral Reefs, Outrigger Impact, 2050 Fund and SWEN Capital Partners’ Blue Ocean Fund. Nautilus, the Blue Guarantee Company and the Blue Bond Facility are among the handful of ocean-focused facilities identified.
Reef restoration
By 2050, global warming could degrade up to 90% of coral reefs, which provide food, shelter and breeding grounds for a quarter of aquatic life. Coral Vita combines selective breeding and microfragmentation — essentially cutting and fusing corals — to speed growth timelines from decades to months.
“We are proving that the blue economy and ecological infrastructure is investable, profitable, and impactful,” said Coral Vita’s Sam Teicher. The startup claims to have grown over 100,000 corals across 52 species in the Bahamas, Saudi Arabia and the United Arab Emirates since 2019.
The startup is expanding its restoration-as-a-service for reef-dependent clients, as well as coral farm tours, technology licensing to restoration groups.
