UK-headquartered Plastic Energy has received investment of £123.9 million from three separate companies.
The chemical recycling firm offers a ‘sustainable solution’ to preventing plastic pollution, through chemically recycling previously unrecyclable plastic waste into TACOIL for making virgin-quality recycled plastics.
LetterOne, Axens and M&G made the investments into Plastic Energy, which has recycling plants in Spain and several under construction in France and the Netherlands.
It has agreements with ‘key players’ in the chemical sector, such as SABIC, TotalEnergies and ExxonMobil – with its recycled plastic having already been incorporated into packaging and products for brands such as Unilever and Tupperware.
The firm’s ‘unique’ and patented technology uses a thermal anaerobic conversion (TAC) process to recycle end-of-life plastics that would otherwise be destined for landfill. The resulting TACOIL are then used in the creation of virgin-quality, food-grade packaging.
Plastic Energy said that the funds raised will be used to accelerate its growth and enable it to expand its technology and global portfolio of recycling plants.
Carlos Monreal, founder and CEO of Plastic Energy, commented, “I am excited to announce Plastic Energy’s successful institutional fundraise and new investors, which will ensure our company’s success for the future. It is encouraging to have the support of these global companies who share our vision in reducing plastic waste and have confidence in our patented and proven chemical recycling technology.
“This investment will have a big impact, enabling us to recycle more plastics globally and build a more sustainable and circular economy.”
Among the new investors is LetterOne, an entrepreneurial UK-based firm investing through its L1 New Energy arm, making investments in the energy transition.
Tim Summers, managing partner of L1 New Energy, commented, “Carlos Monreal and the management team at Plastic Energy have created a pioneering company with compelling growth potential.
“LetterOne is passionate about building better businesses. We bring an entrepreneurial mindset, long term vison and active investment to drive sustainable value in the sectors that are vital to future prosperity.”
Headquartered in France, Axens is a worldwide provider of technologies, products, services and equipment, for the production of cleaner, renewable, gas, fuels and chemicals. In addition to Axens’ direct investment in Plastic Energy, Plastic Energy and Axens have also agreed upon a strategic collaboration for the worldwide marketing and licensing of Plastic Energy’s chemical recycling technology, representing a ‘major’ milestone in Axens’ ambition to develop and propose an extended portfolio of advanced technologies for the plastic circular economy.
Stéphane Fedou, plastic circular economy director at Axens, commented, “We are glad to announce our investment and strategic partnership with Plastic Energy. Achieving a true circular economy of recycled polymers, including for food contact and health care grade, is a largely shared objective. And, leveraging Plastic Energy and Axens complementary operational and technological skills, we can now offer a combination of proven technologies to make it possible.”
Global investment management firm M&G also join Plastic Energy as an investor. The firm’s ‘strong focus’ on sustainable, planet-centric investments provides additional drive to Plastic Energy’s mission, the firm said.
Alex Seddon, head of M&G’s catalyst team, commented, “The proliferation of waste plastic is a blight on our natural environment and is on an alarming course – with predictions that plastic in the ocean alone will outweigh fish by 2050. Plastic Energy is assisting the circular economy by breaking the chain of adding more new plastic to the eco-system and, importantly, keep more end-of-life plastics away from landfill and our oceans.”
