Kinewell raises GBP £750,000 to expand offshore wind tech

Kinewell, a Wallsend-based clean technology software company focused on offshore wind farm design, has raised £750,000 in a deal led by the North East Accelerate Fund.

The investment is the first deal completed by the North East Accelerate Fund, which is managed by Mercia Ventures. Kinewell said the funding also unlocks a further six-figure sum in grant support, taking the total raised to more than £1 million.

Kinewell develops software used to plan and engineer offshore wind farms. Its tools model different design options for key elements of a wind farm, including cable layouts, turbine layouts and transmission system designs.

In offshore wind projects, electrical infrastructure accounts for a large share of capital costs and directly affects project schedules. As projects grow in scale and complexity, developers and investors are pushing for designs that reduce risk and shorten development timelines.

Kinewell was founded by engineer Andrew Jenkins while he was studying for a PhD at Newcastle University. The company launched its first product in 2015, focusing on optimising cable layout design.

Kinewell said its approach combines artificial intelligence, advanced algorithms and high-end computing resources. It said the software can evaluate millions of design permutations and deliver results within minutes.

The company said its cabling optimisation typically reduces cabling system costs by 20% and cuts months from development time. Its newer products assess cabling, turbine positioning and transmission design together, which Kinewell said can reduce overall offshore wind farm costs by 6%.

Kinewell employs 12 staff and plans to almost double headcount within six months by creating 10 new roles.

Investor backing

The North East Accelerate Fund offers investments of up to £1 million for early-stage companies across the region. It was established by the North East Fund with support from the North East Combined Authority, led by Mayor Kim McGuinness.

Mercia Ventures manages the fund and makes equity investments of up to £10 million across sectors, with a focus that includes software and deep technology.

Kinewell described the round as its first external investment. The company is also working on three grant-funded innovation and development projects.

Its clients include Equinor, SSE Renewables, Parkwind and Eurus Energy, and Kinewell said its software has been used on projects worldwide.

The company won a King's Award for Enterprise for International Trade last year, recognising sustained growth in overseas sales.

Market context

Offshore wind remains a major focus for the UK and other markets seeking more low-carbon electricity. However, rising costs and supply-chain constraints in recent years have increased scrutiny of development timelines and engineering decisions.

Research and Markets estimates the global offshore wind market was worth around USD $56 billion in 2024 and could reach almost USD $299 billion by 2034. In the UK, a recent government wind auction secured 8.4GW of capacity and unlocked £22 billion of investment.

Jenkins said the company's work is focused on lowering costs and speeding up offshore wind development.

"Offshore wind is an ideal way to decarbonise our energy supply and improve energy security. Our goal is to bring down costs and reduce the time it takes to develop new wind farms, which in turn will make wind energy more attractive and help unlock further investment into the industry."

"Kinewell's solutions have already helped some of the world's largest renewable energy producers significantly reduce lead times and save hundreds of millions of pounds. This funding will help us build on that success," said Andrew Jenkins, founder and CEO of Kinewell.

Mercia Ventures said the deal will help scale a business that has built traction with limited capital.

"Kinewell has achieved remarkable success despite limited investment to date. With offshore wind entering a new growth phase, it is well positioned to capitalise on this. This investment will help unleash its potential and secure its position as the leading software of its type for the industry," said Chris McCourt of Mercia Ventures.

The North East Fund said its latest programme plans to provide up to £100 million for investment in North East small and medium-sized businesses through to 2030 and beyond, with capital deployed through three funds managed by Mercia Ventures, Northstar Ventures and FW Capital.