Paragraf has clinched a $55 million Series C financing round, anchored by a $35 million injection from Mubadala Investment Company—the sovereign wealth fund of Abu Dhabi—earning Mubadala a 12.8 per cent equity stake in the UK-based firm. The deal, formally approved under the National Security and Investment Act, will underpin Paragraf’s bid to scale up production of graphene-based semiconductors and pursue global expansion plans.
Leading the company’s development, co‑founder and chief executive Simon Thomas emphasized the transformative potential of the capital. He described it as “a strong signal of confidence in Paragraf,” and said it will “enable us to expand production of faster, more energy‑efficient technologies to the scale required by major commercial opportunities.”
The funds will also help Paragraf extend its manufacturing output, laying the groundwork for mass‑market deployment of graphene electronics. These include devices optimized for performance in extreme environments, such as cryogenic quantum computing systems and high‑radiation aerospace applications, where graphene’s superior electrical and thermal properties offer significant advantages over conventional silicon-based chips.
It was not just the fundraising that challenged Paragraf. The company came within two weeks of depleting its financial reserves as it awaited ministerial clearance for Mubadala’s investment. The national security review, mandated by the Act, lasted six months, stretching Paragraf’s operational runway perilously thin. Thomas warned that such protracted approval processes could threaten the survival of firms operating in strategic UK industries.
The Cabinet Office defended the process, stating that over 95 per cent of similar cases are cleared within 30 working days, though it declined to comment on Paragraf’s specific circumstances.
With clearance finally granted on 18 June 2025, the acquisition by MIC UAE Investments 2 RSC Limited of a fully diluted 12.8 per cent shareholding in Paragraf proceeded, subject to conditions addressing information security, operational integrity and corporate governance.
Paragraf plans to use the new capital to expand production facilities and accelerate research into practical graphene applications across multiple sectors. These include quantum computing, energy storage, electric vehicles, chemical testing and even medical diagnostics, reflecting the material’s versatility. The company is also establishing subsidiaries in key regions—including the United States, China and the Middle East—to strengthen its international footprint and mitigate geopolitical risk.
Follow Arabian Post
Select Arabian Post as your preferred source on Google and MSN News for trusted business news and Arab politics and updates.
