Tech-driven housebuilder raises €100m

Gropyus, a startup that designs, builds and manages prefab homes, doubled its total funding with a Series B fundraise led by German residential giant Vonovia.

The startup has an in-house building system that it uses to design homes, a factory to create prefabricated parts and an operating system to manage the final product.

In November, Gropyus and Vonovia launched a strategic partnership wherein the two companies would develop and build homes together.

Vonovia, which manages more than 600,000 homes, also agreed to fit out its new and existing apartments with Gropyus’s operating system to make them more energy and cost-efficient.

Vonovia has now doubled down on its partnership with Gropyus, backing a fundraising round that takes the startup’s total funding to more than €200m.

New funds will be used to push ahead with long-term growth plans, including the expansion of a production site in Richen, Germany.

Daniel Riedl, the Vonovia board member responsible for development and new construction projects, will be appointed to Gropyus’s supervisory board.

He said: “The general housing shortage and climate change are two key challenges of our time. Our society must push ahead with environmentally-friendly and sustainable solutions.

“At Vonovia SE, we acknowledge our obligation to make a difference. Gropyus is digitalising and transforming the housing and construction industry. We want to leverage this in our projects going forward and take resource-efficient living to the next level.”

Markus Fuhrmann, CEO of Gropyus, added: “We have ambitious growth plans for the coming years and are proud to have the continued support of new and existing investors.

“We are delighted that we have been able to impress Europe’s largest residential real estate company, Vonovia, with our products. This shows the considerable trust and belief they have in our mission.”

Other recent fundraises

Boston Metal, a company seeking to fully decarbonise steel production, raised $120m in Series C funding led by steel company ArcelorMittal.

The company will use the new funds to expand the production of steel at its pilot facility outside Boston and support the site selection and preliminary design of its first green steel plant.

Meanwhile, back in Germany, Aedifion raised €12m in a Series A round to grow its building monitoring software. The round was led by European climate tech investor World Fund and Beyond Build, with participation from a number of investors including Drees & Sommer.