Swedish energy technology company Rebaba has raised $4.6 million (SEK 44.1 million) in an oversubscribed seed funding round. The round was led by Sistafund and EIT Urban Mobility, with participation from existing shareholders and new European investors. The capital will support the company's expansion of circular battery energy storage systems built from retired electric vehicle batteries.
Funding and Strategic Backing
The financing provides Rebaba with resources to expand its Stockholm CircularHub and strengthen its presence across Europe. Demand for energy storage is increasing due to rising electricity consumption, electrification and the deployment of renewable energy. Rebaba says repurposing existing electric vehicle batteries can help meet this demand while reducing reliance on batteries manufactured specifically for stationary storage.
Investor Confidence and Market Need
The oversubscribed round reflects investor confidence in Rebaba's circular approach to battery energy storage. The company addresses two challenges at once by reducing battery waste and easing grid constraints in a growing energy market. It also enables customers to generate revenue from green energy while building a circular battery value chain.
Second-Life Battery Technology
Rebaba's platform is designed to work with different types of electric vehicle batteries while using standard components for other parts of the storage system. Co-founder and Chief Technology Officer Felix Kruse said the company keeps complexity within its core technology, allowing essentially any technician anywhere in the world to build a system. According to Rebaba, electric vehicle batteries can retain around 70 to 80 percent of their useful life after leaving vehicles, helping the resulting systems deliver clean, European-engineered, high-performance energy storage at a competitive price point.
Products and Applications
Rebaba currently offers two energy storage products for different customer segments. Companion is a compact cabinet-based system with 40 kWh of capacity aimed at residential and smaller commercial applications. Containerised is built for larger commercial and industrial installations and enables load shifting, local generation storage, peak shaving and grid-balancing services that help customers reduce energy costs and strengthen operational resilience.
Commercial Traction and Distribution
Following one year of production at its flagship CircularHub in Stockholm, Rebaba now operates commercial deployments across Sweden. The company has signed commercial agreements in Sweden and Denmark and established distribution partnerships with KP Energy, OKQ8, nanuq and Smartports. These agreements cover Sweden, wider Scandinavia, Germany, Austria, Switzerland and France, with further partnerships signed but not yet announced.
Capacity Expansion and Environmental Impact
Rebaba plans to scale its CircularHub production facility in Stockholm to an annual capacity of 40 MWh. This expansion is expected to avoid approximately 4,000 tonnes of CO2 per year compared with conventional battery manufacturing. The company will also hire across multiple roles to support production, engineering and commercial growth.
European Expansion Strategy
Chief Executive Officer Paula Runsten said Europe has spent years trying to catch up in battery manufacturing and second-life batteries offer a profitable way to compete. The company is preparing to establish additional CircularHubs outside Sweden as it expands into other European markets. This strategy aims to optimise the logistical footprint of its operations while serving growing demand for stable and cost-effective energy storage.
The seed investment strengthens Rebaba's ability to scale a circular battery value chain across Europe. Its model offers customers a way to lower energy costs, avoid grid bottlenecks and participate in balancing services. With expanded production and distribution, the company is positioned to meet increasing demand for sustainable energy storage.