VTT spinout Elea & Lili raises €2.5 million to commercialise microplastic-free superabsorbent material for hygiene and agriculture

ESPOO, Finland, March 18, 2026 /PRNewswire/ -- Disposable diapers and agricultural water retention products rely on fossil-based superabsorbent polymers (SAP) that contribute to microplastic pollution and persistent plastic waste. Backed by over a decade of biomaterials research at VTT Technical Research Centre of Finland, Elea & Lili is commercialising a cellulose-based alternative designed to replace these materials at an industrial scale - without compromising performance.

Elea & Lili, a deep-tech startup originating from VTT Technical Research Centre of Finland, has raised €2.5 million in seed funding to industrialise its patented Cellulose Super Absorbent (CSA™) - a microplastic-free, biodegradable alternative to conventional superabsorbent polymers (SAP). VTT has transferred the underlying technology and IP to the newly established company.

The company's first commercial applications target two massive global markets: disposable diapers and agriculture - both currently dependent on fossil-based absorbent materials that generate long-lasting plastic waste and microplastic pollution. 

The funding was led by Lifeline Ventures and will accelerate pilot production, industrial partnerships, regulatory validation, and first commercial launches in the U.S. and Europe. 

The round also included Ikorni Invest Oy Ab, and Baltiska Handels Sverige AB, representing long-term industrial and sustainability-focused capital.

Elea & Lili is working with leading cellulose and biomaterials companies to scale CSA from pilot to industrial production. These partnerships support the company's ambition to build a new global material category. 

A deep-tech materials platform

Elea & Lili is fundamentally a biomaterials technology company. Its core innovation, Cellulose Super Absorbent (CSA™), replaces the last non-biodegradable component in modern diapers: fossil-based superabsorbent polymers.

The World Economic Forum estimates that disposable diapers generate nearly 40 million tons of waste annually. Each child uses approximately 4,000-6,000 diapers, and around 170 billion diapers are produced globally every year.

CSA™ is made from cellulose, is biodegradable and microplastic-free, compatible with existing diaper production lines, and demonstrates absorption performance comparable to conventional SAP. The material has undergone safety and skin compatibility testing in accordance with relevant ISO standards. 

Agriculture: an equally strategic entry market

Superabsorbent polymers are widely used in agriculture to retain water and improve nutrient efficiency. The fossil-based polymers in current products are mixed directly into the soil, resulting in permanent plastics ending up in farmland.

From 2028 onwards, EU regulation  will restrict the use of fossil-based plastic components that persist in soil. CSA™ provides a biodegradable solution for water retention, reduced irrigation demand, improved nutrient delivery, and regenerative agriculture solutions - without leaving persistent plastic residues in soil.

"Hygiene and agriculture are equally strategic entry points for us. In both markets, absorbent materials are mission-critical components - and today they are fossil-based. We are replacing them with a scalable biomaterial," says Tatu Miettinen, CEO and Co-Founder.

Born from personal conviction - built on scientific depth

The idea for Elea & Lili began in 2017 when CEO Tatu Miettinen became aware of the environmental footprint of disposable diapers after the birth of his first child.

"In 2019, the birth of my daughter Elea was medically complex and involved time in neonatal intensive care. The experience profoundly reshaped our family's perspective. At that moment I decided: if she recovers, I will dedicate myself to building something meaningful and sustainable for the next generation," says Miettinen.

Today, Elea & Lili holds a patent family built on over a decade of biomaterials research conducted at VTT and transferred to the company. The team combines biomaterials science, industrial scale-up expertise, and commercial execution capabilities. 

Large markets, structural demand shift

The global diaper market is projected to reach $141.2 billion by 2030. The global superabsorbent polymers market is expected to reach $13.2 billion by 2030. 

Consumer and regulatory pressure are accelerating the transition towards sustainable materials. Elea & Lili positions itself at the intersection of deep-tech materials science, waste & climate impact, and industrial scalability.

"We are not creating a niche eco-product. We are replacing a global material category," says Miettinen.

What the funding enables

The €2.5 million seed round will be used to scale pilot production of CSA™, advance industrial validation, develop first commercial diaper products, accelerate agricultural field trials, and expand the core team. 

"I have been waiting for a non-fossil alternative, and Finland's top expertise in biomaterials makes it natural for it to emerge from here. Today, a good part of those 170 billion diapers remains in our soils forever, and we grow food in microplastics," says Timo Ahopelto, Founding Partner of Lifeline Ventures.

"VTT's role is to accelerate growth, renew industries and strengthen resilience through technology and innovations. Creating new startups and supporting growth companies is one of the core aspects of our impact, and this startup is a great example", says Atte Virtanen, Vice President for Biomaterial processing and products at VTT.

For additional information:

Elea & Lili Ltd 
Tatu Miettinen, CEO
Email [email protected] 
Tel. +358 400 814 133 

VTT Technical Research Centre of Finland Ltd
Atte Virtanen, Vice President
[email protected], tel. +358 505 779 770

Elea & Lili Ltd
Elea & Lili is a deep-tech biomaterials company developing microplastic-free superabsorbent materials based on patented cellulose technology.

The company's mission is to eliminate microplastics from hygiene and agricultural absorbent applications by replacing petroleum-based SAP with biodegradable cellulose-based alternatives.

Elea & Lili - For Generations of Compassion and Care

www.elealili.com 

Further information on VTT:
Paula Bergqvist, Communications Manager
+358 20 722 5161, [email protected]
www.vttresearch.com

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SOURCE VTT Info