ASX-listed biomaterials company Nanollose (NC6) has secured $1.58 million in new funding since 1 April 2026, following the conversion of options exercisable at $0.025 and $0.05 per option.
The capital raise comes as the Western Australian company advances its strategy to establish its first dedicated microbial cellulose pulp production facility, having recently narrowed its focus exclusively to scaling its tree-free Nullarbor fibre technology for the textile industry.
The unlisted $0.025 options were originally issued as part of a strategic capital raise undertaken in the fourth quarter of 2024. The company said the conversions reflect ongoing investor confidence in its direction, which includes facility development, equipment sourcing and significant processing improvements that are expected to deliver enhanced efficiencies and improved sustainability outcomes.
CEO and managing director Andrew Moullin said the result was a strong endorsement of the company's commercialisation strategy. "It reflects continued support from our existing investor base and provides additional capital to accelerate key development initiatives," he said.
"Importantly, this funding strengthens our balance sheet as we advance plans to establish our first dedicated microbial cellulose pulp production facility. In parallel, we are achieving meaningful improvements in processing efficiency and scalability, which are expected to enhance both the economic and sustainability profile of our technology."
The raise follows a strategic pivot Moullin outlined to shareholders earlier this year, in which Nanollose moved to concentrate solely on Nullarbor fibre production after previously running projects across textiles, agricultural inputs and leather alternatives. At the time, Moullin pointed to the scale of the opportunity, noting that the global textile industry consumes over 300 million trees annually to produce man-made cellulosic fibre, with the regenerated cellulose fibre market estimated at around US$20 billion.
Nanollose has reported improving its Nullarbor fibre production process by at least 60 per cent in recent months, and has commenced international equipment evaluation trials. The company's stated near-term goal is establishing a dedicated microbial cellulose pulp production line capable of producing enough pulp for multiple tonnes of Nullarbor fibre per month.
"With this additional capital and continued technical progress, we are well positioned to execute the next phase of our strategy and move closer to meaningful production," Moullin said.