Green innovator Artus Air secures significant investment to drive growth

We’ve made a multi-million-pound investment into Artus, alongside leading VC Par Equity, to drive its next phase of growth.

12 October 2023

BGF has completed a multi-million-pound investment into Artus Air Limited, as part of a wider funding round alongside leading venture capital firm Par Equity.

Artus designs and sells game-changing HVAC (heating, ventilation, and air conditioning) units for buildings, with its innovative, elegant design significantly reducing carbon emissions—both by using fewer materials and being more efficient to operate.

Spun-out of global sustainable development consultancy Arup in 2021, Artus has offices in Edinburgh and London, serving an HVAC market estimated to be worth over $100bn globally. There are already several thousand Artus units deployed, including significant installations at a number of landmark new build and refurbished building developments in cities across the UK and Europe.

With Deloitte estimating that 80% of London’s offices need upgrading to meet future energy efficiency standards, and 6% of the UK’s emissions coming from heating and cooling commercial and public buildings, Artus can play a key role in retrofitting more carbon-efficient HVAC systems.

The investment from BGF and Par Equity will enable Artus to rapidly scale its sales function, expand its product range, and establish new international export partnerships. This will ultimately allow the company to deliver its transformational product to more top-tier clients.

Rebecca Stewart, CEO of Artus Air, said: “This investment marks a transformative moment in Artus Air’s growth journey. Our track record of delivery shows why we are the future of air conditioning—our solution delivers significant carbon savings, is demonstrably faster to install, and is easier to maintain. It also has the added benefit of being super compact, meaning that sometimes it’s the only solution to the upgrade of tricky spaces.

“BGF’s investment, alongside the continuing support of Par Equity, is warmly welcomed as we expand our offering into high-potential markets in Europe and the US. We look forward to reducing our impact on the environment and setting new standards within the industry.”

The wider HVAC sector is highly acquisitive, as increasingly stringent regulatory requirements drive urgent technical innovation. Artus is one such innovator and its climate-efficient technology achieves more than 80% fan energy savings compared to other fan coil units.

Dennis Atkinson, BGF investor said: Artus Air is pioneering and delivering energy-efficient climate control technology that can make a real difference at a time when building emissions are under close scrutiny. We are pleased that our investment, as part of the wider fundraise, will help scale-up the company’s sales function and expand within this opportunity-rich sector. A combination of rising demand, a strong management team, and evolving efficiency requirements means Artus Air is perfectly placed to drive the green revolution in heating and cooling technologies.”

Paul Munn, managing partner at Par Equity, said: “Artus Air is leading the charge in the air conditioning technology space, which is evident from its energy saving credentials to date. Its commitment to innovating and retrofitting units that are functionally advanced, smart, and sustainable sets them apart, and it’s great to see it already being implemented in well-known buildings across the UK. This is why, at Par Equity, we are delighted to play a part in its investment journey. Having initially invested in 2021, we’re thrilled to continue our support in this round, enabling Artus Air to take the next step and expand its offering to more buildings across the UK and beyond.”

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