Rhizocore Technologies Raises £4.5M to Scale Fungal Forestry Solutions and Expand Internationally
Edinburgh-based biotechnology company Rhizocore Technologies has secured £4.5 million in fresh funding to scale its pioneering fungal forestry innovation and expand into international markets, including North America. The investment marks a major milestone for the startup as it seeks to bring nature-based biological solutions to forestry, land restoration, ecosystem regeneration, and climate resilience.
The latest funding round was led by The First Thirty, a specialist investor focused on soil health and regenerative technologies. Participating investors include Scottish Enterprise, The Grosvenor Estate, Sand River, Generation-Re, Kibo Invest, Old College Capital, and other supporters of nature-positive innovation. The round reflects growing confidence in Rhizocore’s scientific approach and its potential to deliver both ecological benefits and commercial value.
Rhizocore Technologies was co-founded in 2021 by Dr Toby Parkes, CEO, and David Satori, Chief Mycologist. The company emerged from UK academic and innovation ecosystems, including the University of Edinburgh and the Deep Science Venture’s Food & Agriculture Science Transformer (FAST) programme. Rhizocore’s core innovation, RhizoPellets™, introduces locally adapted ectomycorrhizal fungi to tree roots at the time of planting, strengthening the symbiotic networks beneath the soil that support nutrient and water uptake. These fungal partnerships help young trees survive the critical early stages of growth, increase resilience to environmental stressors, and accelerate wood establishment in diverse landscapes.
Field results from more than 100 active sites across the UK and Europe show dramatic improvements in tree performance. In trials with Forestry and Land Scotland, saplings treated with RhizoPellets™ achieved a 97 % survival rate compared to 78 % for untreated controls, while at some restoration sites Downy Birch saplings grew up to 13 times faster than control plots, underscoring the potential of fungal-assisted forestry to improve outcomes for land managers and conservation partners.
The newly secured £4.5 million will be deployed to expand production capacity at Rhizocore’s Scottish facility, meet surging market demand, and support the company’s North American expansion strategy, where more than 1.4 billion trees are planted annually. The investment also enables Rhizocore to build new regional capabilities, including fungal strain libraries and local screening programmes tailored to North American soils and species, as well as to broaden its ecological product portfolio into soil and water health applications.
Dr Toby Parkes said the funding represents “market validation” for Rhizocore’s data-driven, nature-first approach, noting that several existing customers joined the round as investors because they are directly experiencing the benefits of fungal enhancement in their planting operations. The capital surge positions the company to unlock new restoration markets, accelerate adoption among forestry and restoration partners, and further its mission of protecting, harnessing and restoring fungal biodiversity as a foundational element of resilient landscapes.
The First Thirty’s involvement highlights a broader trend in climate and soil health investment, where regenerative technologies that reconnect biological systems with economic outcomes are attracting strategic capital. Enhancing below-ground biology not only contributes to ecological recovery — such as improved carbon sequestration and biodiversity — but can also deliver stronger financial returns by reducing tree mortality, improving growth rates, and boosting forest productivity.
In addition to its latest round, Rhizocore has earlier funding history that helped build its foundational R&D and scaling capabilities. In 2023, the company raised £3.5 million from climate-focused investors including ReGen Ventures, Collaborative Fund, and Grok Ventures to support early scaling of its biological production processes and infrastructure. This earlier capital enabled Rhizocore to develop its first commercial products and expand its team and field network across the UK.
With £4.5 million freshly in hand and an expanding global footprint, Rhizocore Technologies is now better equipped to deliver its biological solutions at scale, support ecosystem restoration projects globally, and broaden industry understanding of how fungal networks can shape healthier, more resilient forests in a changing climate.
