Direct air capture (DAC) company Heirloom has secured two new investments from the Development Bank of Japan Inc. (DBJ) and engineering company Chiyoda Corporation.
These investments demonstrate an ongoing Japanese interest in Heirloom’s DAC solutions that was first witnessed during the company’s Series B investment round, which saw support from Japanese industry giants such as Japan Airlines Co., Ltd., Mitsubishi Corporation, and Mitsui & Co., Ltd.
Held in December 2024, the Series B funding round locked in $150 million, co-led by returning investors Future Positive and Lowercarbon Capital, who also participated in the Series A round.
A few months after the successful Series B closing, Heirloom also managed to secure an equity investment from the United Airlines Ventures (UAV) Sustainable Flight Fund, which backed the DAC company while gaining the right to purchase up to 500,000 tons of CDR.
With the latest investments from DBJ and Chiyoda, Heirloom is fortifying its strategic position in the Japanese market that will allow it to engage with Japan’s emerging emissions trading system, known as the GX-ETS.
While currently still in its voluntary phase, the GX-ETS is expected to evolve into a mandatory compliance scheme in 2026, turning into Asia’s second-largest carbon market.
Engineered decarbonization technologies like Heirloom’s DAC approach are eligible to generate verified carbon credits under the GX-ETS, helping regulated Japanese corporations advance on their sustainability strategies.
DBJ is a major finance institution owned by the Japanese government, and as such, it plays a vital role in supporting solutions that contribute towards the country’s Green Transformation initiatives and 2050 climate goals.
Relevant: Heirloom Secures $150M To Accelerate Direct Air Capture Scaling
This collaboration with Heirloom marks DBJ’s first DAC investment, testifying to a growing recognition of carbon removal technologies in the decarbonization journey of the Japanese economy.
Chiyoda Corporation, on the other hand, carries vast experience in engineering and construction, which Heirloom intends to leverage to accelerate the deployment of its DAC technology around the world.
Heirloom co-founder and CEO Shashank Samala commented, “These investments from DBJ and Chiyoda strengthen our technical and financial foundation to build large-scale DAC systems that serve many roles across decarbonization—from providing CO₂ for clean fuels to enabling permanent carbon removal. Their joint expertise within Japan’s energy and industrial landscape will help accelerate the use of cutting-edge carbon technology where it can have the greatest impact.”
Read more: United Airlines Invests In DAC Tech By Heirloom, Securing Right To Buy 500k Tons Of CDR
