SageTech Medical raises £2.5m to recycle waste anaesthetic gases

What's the deal? SageTech Medical, a Devon-based medical device and pharmaceutical startup, has raised £2.5 million in early-stage funding. The round was led by the British Business Bank's South West Investment Fund, through appointed fund manager The FSE GroupDealroom has a profile for this one. Try Dealroom →.

What's the endgame? SageTech's patented technology captures waste anaesthetic gases in clinical settings before they escape into the atmosphere, then recovers and recycles the anaesthetic agents for reuse. Veterinary practices and hospitals use the circular system to cut emissions, reclaim vented agents, and reduce staff exposure to the gas.

Founded in 2015, the company has been capturing volatile anaesthetic agents in NHS hospitals and veterinary clinics since 2019. The technology is now in use across the UK and selected European markets. Proceeds will expand the team, strengthen operations, and meet growing demand.

Why now? Adoption is being driven by tightening environmental regulation and sustainability targets across healthcare, with rising interest from major veterinary groups. Life sciences is a priority sector in the UK Government's Industrial Strategy.

In their words: "We've developed a solution that not only helps healthcare providers reduce their environmental impact but, importantly, our innovative technology has the potential to significantly increase the safety of clinical staff by reducing work-based exposure to the vented gas," said chief executive officer Iain Menneer.

The signal: The round sits at the higher end of its stage — near the 57th percentile by size — a sign of investor appetite for climate-focused health technology. As greener healthcare practices climb the agenda, SageTech is positioning to scale a rare circular fix for a long-ignored source of clinical emissions.

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