Australian infratech startup Aurtra bags $1.4m to expand globally

Brisbane-based energy software-as-a-service startup Aurtra has secured A$2 million (about US$1.4 million) in an oversubscribed seed round led by Melbourne-based venture fund Uniseed.

Sydney Angels Sidecar Fund, Melbourne and Brisbane angel groups, and Sydney Angels also participated in the round, alongside other international investors.

Photo credit: High Contrast

Formed in 2017, Aurtra provides online solutions to monitor the health of distribution transformers and help maximize their use. Backed by a patented IoT multifunction sensor and cloud-based algorithms, the startup’s software is currently deployed in 66% of Australian power distribution utilities, the company claims.

With the funding, Aurtra plans to leverage existing distribution in Australia, New Zealand, North America, and Europe to drive new customer acquisition in the US, Asia, and Europe.

The startup said its technology can potentially increase the shelf life of energy transformers by upwards of 10 years, or about 33%, and save A$1 trillion (US$683.2 billion) of industry capital expenditure over 10 years.

Currently, energy transformers have a 30-year automatic replacement cycle due to their sealed nature and physical design, which prevents easy visibility into their real age.

“Given these benefits, we are highly confident we will seize sizeable global market share. However, with around 34 million aging energy distribution transformers globally, there is a A$1 billion (US$683.2 million) annual revenue opportunity if we acquire just 5% of this total addressable market,” said Aurtra co-founder and CEO Stephan McRae.

The company said it is currently seeking contracting opportunities with transformer manufacturers, large industrial energy users, and power utilities.

Currency converted from AU dollar to US dollar: US$1 = A$1.46.