Colorifix Raises $18M to Scale Its Eco-Friendly Textile Dyeing Technology Worldwide

Colorifix, the company behind what it calls the world’s first entirely biological textile dyeing process free from petrochemicals, has secured an $18 million investment round. Led by Inter IKEA Group, the funding is aimed at supercharging Colorifix’s global expansion.

With this new capital, the company plans to ramp up its production capabilities across both Europe and Asia, strengthen its relationships with textile manufacturers and fashion brands, and expand its colour offerings using its proprietary microbes and bio-based processes.

Since its last funding round in 2022, Colorifix has moved well beyond early-stage trials. The company is now active across Europe and Latin America, and it has opened the door to new markets in India and Sri Lanka through fresh licensing deals. This shift marks a turning point from limited industrial pilots to full-scale commercial operations.

Backing from earlier investors like H&M Group Ventures, Sagana, and Regeneration.VC continues, with new names joining the cap table, including the Goldwin Play Earth Fund, the Ljungstrom family office, and Youngone CVC.

While its core customer base lies in the fashion sector, Colorifix is also expanding its reach. The team has inked deals to explore applications in cosmetics and home goods, signalling a broader commercial ambition.

At the heart of Colorifix’s offering is a unique fermentation process. Instead of relying on harsh synthetic chemicals, it uses engineered microorganisms to grow and transfer colour directly onto fabric. This approach drastically reduces water and energy usage, cutting down the environmental impact of dyeing.

Colorifix CEO Orr Yarkoni says: “This investment marks a critical milestone as we shift from proving our technology to delivering it at industrial scale.

“With Inter IKEA Group joining as lead investor and continued backing from H&M, we are uniquely positioned to accelerate adoption of our biology-based dyeing across global supply chains — eliminating the need for petrochemicals in dye production and drastically reducing water and electricity usage in the dyeing process itself.”

Linn Clabburn from Innovation Ventures at Inter IKEA Group adds: “Colorifix is addressing one of the toughest sustainability challenges in textiles. Their progress in scaling this technology and entering new markets aligns well with our ambitions to improve sustainability in the value chain.”

Yarkoni explains: “Over the last few years, we have gone from grammes to tonnes of fabric per week. We are very excited for the next phase of growth, and with partners strongly committed to sustainability, such as Inter IKEA Group and H&M, we are sure to make a difference!”

From its headquarters at Norwich Research Park, Colorifix now manages operations that span a demo site and bioreactor production facility in Portugal, along with an office in London. What started as a bold, lab-based concept has now grown into a globally scalable solution for one of fashion’s most pressing problems.