SKF invests in startup Anferra to transform industry's toughest waste problems into circular resources

SKF, alongside Stephen Industries and Chalmers Ventures, has announced a strategic minority investment in Anferra AB, a startup focused on addressing the environmental challenges posed by hazardous steel grinding sludge. The deal, which was disclosed on June 25, 2026, involves an undisclosed amount and aims to leverage Anferra's innovative technology to recycle this industrial waste into valuable resources, thereby contributing to sustainability efforts within the environmental technology sector.

Anferra's proprietary process transforms steel grinding sludge—a mixture of metal particles, abrasives, and contaminated emulsions generated during metal grinding—into ferric chloride and hydrogen gas. This transformation not only recovers up to 90% of the iron contained in the sludge but also significantly reduces the energy required for processing. The environmental implications are substantial, as the technology promises a potential climate benefit of negative 470 kg CO₂-equivalents per tonne of sludge, which is comparable to the emissions saved by driving an electric vehicle for approximately 7,500 kilometers. By converting a hazardous waste product into secondary raw materials, Anferra's approach aligns with the European Union's regulatory efforts to promote circular economy practices.

The investment positions SKF as a first mover in the realm of circular recycling innovations, enhancing its commitment to sustainability and resource efficiency. SKF Ventures, the company's initiative aimed at accelerating new innovations, will play a crucial role in facilitating the development and commercialization of Anferra's technology. The collaboration with Stephen Industries and Chalmers Ventures brings together a diverse set of expertise, with Stephen Industries focusing on scaling deeptech ventures and Chalmers Ventures providing essential connections to the research ecosystem.

The steel and bearing industries face significant challenges regarding the disposal and recycling of grinding sludge, which is often incinerated or sent to landfills due to its hazardous classification. Anferra's technology not only addresses these challenges but also offers a pathway to reduce the environmental impact of industrial operations. As industries increasingly prioritize sustainability, the ability to convert waste into valuable resources will be a key driver of competitive advantage.

This investment reflects a broader trend in the environmental technology sector, where companies are seeking innovative solutions to manage waste and reduce carbon footprints. As industries continue to grapple with regulatory pressures and public expectations regarding sustainability, investments in technologies like Anferra's will likely become more common. The collaboration between established industrial players and innovative startups could pave the way for significant advancements in circular economy practices, ultimately contributing to a more sustainable industrial ecosystem.