PULPEX has announced that it is to build a manufacturing facility near Glasgow capable of producing 50 million of its fibre-based bottles each year.
The news comes after the sustainable packaging technology company secured a £62 million series D investment round led by the National Wealth Fund and the Scottish National Investment Bank.
Pulpex’s fibre-based bottle solution is free from hidden plastic and is manufactured from sustainably-sourced wood pulp designed to be recycled in the same way as paper or card in normal household recycling streams.
The firm explained that the patented and scalable technology results in a recyclable and biodegradable end-product with a lower carbon impact versus glass or plastic packaging formats.
The investments from the National Wealth Fund and Scottish National Investment Bank are ‘critical’ to the industrialisation of the technology, as well as future uptake and adoption by packaging manufacturers and their customers, Pulpex added.
By enabling the construction of the its first manufacturing facility to reach commercial-scale capacity, the financing will help create the conditions for growth in both Scotland and the wider alternative packaging sector – with the facility set to create 35 jobs.
Pulpex currently operates out of its existing R&D and pilot production facility at its headquarters in Cambridge, and has existing partnerships with some of the largest global FMCG brands, including Diageo, Unilever, and Kraft Heinz, through which it is developing bespoke products for launch.
Scottish secretary Ian Murray said, “I’m delighted to see this first investment in Scotland from the new National Wealth Fund. Boosting business is a cornerstone of our Plan for Change and will create jobs and opportunities to raise living standards.
“Just last month, we announced that Glasgow had been chosen as one of four areas where the UK Government will develop investment pipelines and this new Pulpex facility, to be built on the outskirts of the city, is a prime example of how supporting regional growth will benefit people right across the UK. The firm’s innovative bottling solution will aid the decarbonisation of our packaging industry and help accelerate our Net Zero goals as we drive delivery of clean power by 2030.”
Deputy first minister Kate Forbes added, “This investment by the Scottish National Investment Bank will build on Glasgow’s rich history of innovation and deliver more green jobs for the future. To drive investment into Scotland, we have allocated £200 million to the Bank for the next financial year. The Bank has a strong track record of success and has generated more than £1.4 billion of private sector investment since opening for business in 2020.”
John Flint, National Wealth Fund CEO, commented, “We need to recycle more and unlock the growth potential of the circular economy. That requires sophisticated, long-term investment, both in infrastructure and packaging innovation. Exciting technological advancements like Pulpex are a great example of that potential. But they need catalytic investment to scale and commercialise. Through financing Pulpex’s new facility in Glasgow, we will help remove barriers to future investment from private capital and lay the foundations for further growth.”
Scott Winston, of Pulpex, said, “Thanks to the National Wealth Fund, the Scottish National Investment Bank, our Pulpex team and to our stakeholders for their continued support. This investment will drive the decarbonisation of the packaging sector using leading edge material bioscience to ensure this much-needed alternative to glass and plastic will deliver its ambition. Accelerated by the incredible business ecosystem that flourishes within Glasgow, this will be a visible shining star demonstrating the scalability of Pulpex technology for partners to adopt globally.”
