Key Takeaways
- • Hertha Metals closed a $133.65 million Series A round, according to the company's announcement from Conroe, Texas.
- • The round includes a $65 million equity investment from the U.S. Government, executed through the Industrial Base Analysis and Sustainment (IBAS) program in partnership with the Economic Defense Unit.
- • Khosla Ventures and Doerr Capital co-led the round, with participation from CEV, Pear Ventures, Gates Frontier, Niterra SUISO no MORI Fund (General Partner: Global Brain), Toyota Ventures and Siemens Financial Services.
- • Hertha's single-step steel and high-purity iron process uses fully domestic iron ore and natural gas to produce steel at lower cost and with significantly reduced emissions than conventional methods.
- • The company supplies high-purity iron to rare-earth magnet manufacturers, positioning its technology as a means to secure domestic supply chains.
Summary
Hertha Metals, a steel company based in Conroe, Texas, has announced the close of a $133.65 million Series A funding round. According to the company, the round includes a $65 million equity investment from the U.S. Government, executed through the Industrial Base Analysis and Sustainment (IBAS) program in partnership with the Economic Defense Unit. IBAS is a federal program that funds projects intended to strengthen and modernize the defense industrial base.
The round was co-led by Khosla Ventures and Doerr Capital, with participation from CEV, Pear Ventures, Gates Frontier, Niterra SUISO no MORI Fund (General Partner: Global Brain), Toyota Ventures and Siemens Financial Services. The company describes its process as the world's first single-step steel and high-purity iron process for lower-cost domestic production.
According to the company, Hertha produces steel at lower cost, with ore-grade flexibility and significantly reduced emissions relative to conventional methods, using fully domestic iron ore and natural gas. Hertha says it is reshoring iron and steel production, which it argues will create jobs and give manufacturers access to cost-competitive, high-quality steel and iron while supporting sustainability goals.
The company partners with steel producers and supplies critical high-purity iron to rare-earth magnet manufacturers, which it positions as a way to help secure domestic supply chains and advance American manufacturing competitiveness. The announcement did not disclose a valuation for the round.
The round was co-led by Khosla Ventures and Doerr Capital, with participation from CEV, Pear Ventures, Gates Frontier, Niterra SUISO no MORI Fund (General Partner: Global Brain), Toyota Ventures and Siemens Financial Services. The company describes its process as the world's first single-step steel and high-purity iron process for lower-cost domestic production.
According to the company, Hertha produces steel at lower cost, with ore-grade flexibility and significantly reduced emissions relative to conventional methods, using fully domestic iron ore and natural gas. Hertha says it is reshoring iron and steel production, which it argues will create jobs and give manufacturers access to cost-competitive, high-quality steel and iron while supporting sustainability goals.
The company partners with steel producers and supplies critical high-purity iron to rare-earth magnet manufacturers, which it positions as a way to help secure domestic supply chains and advance American manufacturing competitiveness. The announcement did not disclose a valuation for the round.
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