Swedish clean energy-tech company Aira has raised €150 million (USD 175 million) in equity financing to accelerate the electrification of residential heating in Europe, with Singapore’s Temasek among the participating investors.
The funding round also included existing backers Altor, Kallskär, Kinnevik, and Lingotto, Aira said in a statement on Monday. The capital will be used to scale up operations, expand its product portfolio, and increase production capacity at its factory in Wroclaw, Poland.
Aira, founded in 2023, focuses on replacing gas boilers with air source heat pumps, aiming to reduce household heating costs by up to 40 percent and CO₂ emissions by up to 100 percent when paired with clean energy tariffs. The company has already entered the German, Italian, and UK markets and now employs 1,200 staff.
CEO Peter Prem said the investment would help Aira “double down on our mission to take Europe off gas” by expanding market presence and launching new innovations.
With 130 million boilers still in use across Europe, residential heating accounts for around 10 percent of the continent’s total carbon emissions. The European heat pump market is projected to exceed €150 billion by 2030.
