Safi Secures $19.5 Million Series A Funding for Global Expansion

November 24, 2023

Safi Secures $19.5 Million Series A Funding for Global Expansion

Safi, a pioneering force in the global B2B marketplace for recyclables trading, has recently closed an impressive $19.5 million Series A funding round. This announcement, made on November 24th, 2023, marks a significant milestone for the company as it continues to revolutionise the recycling industry. Led by Nosara Capital, with contributions from established investors LowerCarbon and Transition, as well as notable figures from other B2B marketplaces, this funding round underscores the growing confidence in Safi's innovative approach.

Founded in August 2021 as TrueCircle and rebranded as Safi in May 2023, the company operates a cutting-edge online platform facilitating the trading of recyclables such as plastic, paper, and metal. Its unique AI-enhanced material quality control regime and embedded financing program set Safi apart in a market characterised by offline transactions and a lack of digital infrastructure.

The global recyclables trading market, valued at $290 billion, faces significant challenges including inadequate quality control, limited financing options, and a lack of digital transaction management tools. Safi aims to address these issues head-on, leveraging its platform to increase transparency, accessibility, and efficiency within the industry.

Since its launch just over a year ago, Safi has experienced remarkable growth, with annualized Gross Merchandise Volume (GMV) exceeding $40 million and transactions spanning over 15 countries worldwide. By facilitating the trade of over 79,000 tonnes of recyclables, Safi has contributed to preventing over 160,000 tonnes of CO2e emissions, showcasing its commitment to environmental sustainability.

Rishi Stocker, CEO of Safi and a former employee at Revolut, expressed enthusiasm for the company's mission to boost recycling rates globally and reduce reliance on carbon-intensive materials. "We're doubling down on our mission to increase recycling rates across the world and reduce our reliance on carbon intensive virgin materials," Stocker remarked.

Safi's recent expansion into the U.S. market further solidifies its position as a leader in the industry. By digitising and streamlining the process of recyclables trading, Safi aims to catalyse positive change in an industry ripe for innovation. With transactions totalling over $250,000 since its U.S. debut, Safi is poised for continued growth and expansion.

The company's commitment to quality control is evident through its innovative visioning system, which utilises artificial intelligence to analyse recyclables' composition in real-time. This system provides sellers with valuable insights to improve their product quality while assuring buyers of reliable data.

In a funding pitch memo published by Business Insider, Safi outlined its vision to address key shortcomings within the recovered materials trading industry. By digitising transactions, fostering long-term contracts, and facilitating connections between buyers and sellers, Safi aims to revolutionise the way recyclables are traded on a global scale.

With plans to expand its presence in the U.S. and Canada throughout 2024, Safi is poised to make a significant impact on the recycling industry. By combining technological innovation with a commitment to sustainability, Safi is leading the charge towards a more efficient, transparent, and environmentally friendly future for recyclables trading.

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