Vessev: Development of Electric Hydrofoiling

Kia Ora friends!

Co-Investment Opportunity: Vessev

We’re thrilled to announce that one of our most ambitious startups, Vessev (formerly Seachange) has reached a critical milestone: the boat has taken flight. How does a boat fly? On wings of course! Except for Vessev, the wings are underneath the boat, fully submerged in the water. They are attached to the boat by the 2 yellow beams in the photo above.

When the boat goes fast enough, lift is created on the wings (similar to how it works when a plane takes off) and the wings push the boat completely out of the water. Like the photo here:

So what’s so special about this? Well, this whole process is called hydrofoiling, and the submerged wings are called foils. And the reason this is exciting is it allows you to fully lift the hull of the boat completely out of the water, thereby eliminating 90% of the drag that a boat experiences. By reducing the drag, you in turn reduce the power needed to go a certain distance on the order of 50-80%. So this makes the boat faster and more efficient. Over the past decade sports yachts like the ones in the America’s cup led the way in the technical innovations required to create the fastest boats in the world by adding hydrofoils to their boats. Team New Zealand was a pioneer in utilising hydrofoils which made them the best team in the world over the last 2 decades. Many of the team New Zealand engineers are now working at Vessev.

Yet there are a few other, recreational boats that hydrofoil. So why does this make Vessev an exciting investment opportunity? What hydrofoiling allows Vessev to do is to make their boats 100% electric. Traditional boats run by batteries are massively uneconomical due to huge drag. By reducing drag by 90%+ Vessev can go the same distance as a traditional boat, but for 1/10th the cost! And they are now the first boat in the world at the current 9 meter size to have achieved hydrofoiling powered by electricity. 

Why we’re extremely bullish on the company is because the marine industry is under intense pressure to decarbonize and there are no viable options. Customers include New Zealand’s biggest commercial ferry company Fullers, and many tourist operators who currently use gas powered boats. Not only is this a cost saving innovation, it is also really cool.

Powerhouse Team

Vessev's leadership team has a unique combination of US product and NZ engineering talent: Eric Laakmann, former Apple Watch executive, and Max Olson, co-founder of Halter. The team boasts extensive expertise, including PhDs in controls and hydrodynamics and veterans from RocketLab and Team New Zealand. Their combined experience in building America's Cup-winning yachts and launching space-bound rockets adds significant credibility to Vessev’s innovative approach.

Milestones and Commercial Traction

Vessev has created the world's best partnership in its space with Fullers360 - New Zealand's largest ferry operators - thought leadership article by Fullers360 on foiling. This collaboration is a testament to Vessev’s technology and market potential. 

Vessev achieved a major milestone with the successful launch of their VS—9 vessel on May 28, 2024. The launch has been widely covered in international media, including Forbes, highlighting the vessel’s revolutionary design and performance. The VS—9 has passed all initial sea trials, confirming its advanced engineering and operational efficiency.

Vessev has also made significant strides in commercial traction. They have sold their first recreational vessel and are witnessing substantial interest from superyacht customers. Their focus on both recreational and commercial markets sets a strong foundation for future growth.

Best regards,

Mark Pavlyukovskyy, Ajay Gupta, and Glen Anderson