Fleetzero, a marine technology company developing hybrid and electric propulsion systems for commercial vessels, has raised $43 million in Series A financing and opened a new manufacturing and research facility in Houston aimed at scaling production of its Leviathan™ propulsion platform.
The round was led by Obvious Ventures with participation from Maersk Growth, 8090 Industries, Breakthrough Energy Ventures, Y Combinator, Benson Capital, Shorewind and other investors. The company said the capital will be used to expand manufacturing capacity and accelerate deployment of its energy storage and propulsion systems on newbuild and retrofit projects worldwide.
“Hybrid and electric propulsion systems are simply cheaper, safer, and cleaner than traditional systems, and the shift in the industry towards electrification is inevitable,” said Steven Henderson, Fleetzero co-founder and CEO.
The Houston headquarters will serve as the company’s primary manufacturing and R&D hub. Fleetzero said the facility includes a production line capable of producing 300 MWh per year of marine energy storage systems, along with a robotics and autonomy lab and propulsion test center. The company plans to expand output to as much as 3 GWh annually within five years.
“Houston has the people who know how to build and operate big hardware – ships, rigs, refineries, and power systems,” said Mike Carter, co-founder and COO. “We’re pairing that industrial DNA with modern batteries, autonomy, and software to bring back shipbuilding to the U.S.”
Fleetzero’s Leviathan system is designed for both hybrid and all-electric configurations on large commercial vessels, with the company targeting reductions in fuel consumption, maintenance requirements, and overall lifecycle costs. Executives have also positioned electrification as a pathway to greater vessel autonomy and a potential catalyst for renewed domestic shipbuilding capacity.
“We believe that electrification will be an important part of the mix on our journey to reach net-zero,” said Morten Bo Christiansen, head of energy transition at A.P. Moller-Maersk. “We’re proud to support innovative companies such as Fleetzero. Their ambitions that go from battery technology to broader infrastructure make them a great partner for Maersk.”
The funding and facility opening come as operators and regulators push for lower-emission propulsion options and as U.S. shipyards look for scalable domestic supply chains in batteries, power electronics, and integrated vessel systems. Fleetzero said it expects the Houston operation to anchor long-term production for both propulsion equipment and future autonomous vessel platforms.
