RAIKU and the EIC Accelerator: Wooden Springs, Tiny Sales

RAIKU, registered in Tallinn in January 2021 and founded by Karl Pärtel and Rain Randsberg, makes a packaging filler from wood alone, shaped into spring-like strands, which it says turns one cubic metre of wood into 15 to 20 cubic metres of packaging with no chemicals and is fully compostable. It was selected in the EIC Accelerator's June 2023 cut-off with blended finance and received an EU grant of €2.50 million for a €3.65 million project to automate its machinery and set up a pilot factory, which ran from March 2024 to June 2026, according to CORDIS. In November 2023 it announced "a nearly € 9 million deal" from the EIC and private investors, according to RAIKU; in January 2026 it described "€5.6M support from the European Innovation Council", according to RAIKU.

The first report, to February 2025, says RAIKU was "able to start pilot production as planned" and had "50 paying customers in numerous countries", according to the CORDIS reporting page. A July 2026 CORDIS article says it has "around 100 clients from 20 countries, including major brands such as LVMH and L'Oreal", and quotes Pärtel saying the next steps are "a large-scale factory, as well as deploying several micro-factories", according to CORDIS. RAIKU's own annual accounts record sales revenue of €806 in 2024 and €27,272 in 2025, according to the Estonian business register.

Where RAIKU Stands Now

RAIKU's first commercial project for a luxury brand, a gift box for Moët Hennessy's Eminente rum, won a design-of-the-year award for 2025, according to RAIKU, and its material won the Avant-Garde award for innovative materials at Packaging Première in Milan in 2025. In January 2026 it was one of 13 companies selected for L'Oréal's sustainable innovation accelerator. Its register entry shows new articles of association in May 2026 and new shareholders added in May and June 2026, with share capital rising from €4,312 at the end of 2025 to €6,196.56; Pärtel told CORDIS "we have secured private investment". No amount has been announced.

The Technology: Packaging From a Single Raw Material

Most protective packaging is plastic bubble wrap, foam or paper, which RAIKU says uses far more wood, energy and water. Its process shapes wood into springy strands that absorb shocks and can be composted. The company claims over 90% lower resource use than paper and a CO2 footprint at least ten times smaller than paper or carton; these are its own figures, based on its life-cycle analysis.

What the EIC Award Promised, and What the Record Shows

The award funded optimisation, automation and a pilot factory. RAIKU says it started pilot production, moved into a larger space and hired technical staff, and its full-time staff rose from 12 in 2024 to 20 in 2025. But its reported client numbers do not match its sales: €27,272 across 13 countries in 2025, of which €22,499 was in Estonia. Its assets at the end of 2025 totalled €266,107, including €83,693 of equipment, which is modest for a pilot factory.

1. Pilot productionDeliveredStarted, per report.
2. Big-brand pilotsDeliveredEminente gift box.
3. Commercial salesMinimal€27,272 in 2025.
4. First factoryNot builtStill a next step.

The Money

The EU covered 69% of the project. RAIKU's other operating income, which includes grants, was €1.37 million in 2024 and €1.19 million in 2025, turning a small profit in 2024 and a €42,149 loss in 2025. It ended 2025 with €99,044 in cash and equity of €131,332. How much the EIC Fund invested, if anything, is not shown in its accounts, which record no new equity in 2025.

What Cannot Be Checked

Why Europe Should Care

Europe's packaging rules push companies away from plastic, and a low-impact filler made from wood alone fits that shift. RAIKU has attracted some of the most demanding brands in the world to test it. It has not shown it can sell the material in volume.

The Verdict

RAIKU and the EIC have not been asked for comment for this article. It is based entirely on public records and published statements, linked throughout.