{"id":131792,"date":"2023-09-18T07:29:00","date_gmt":"2023-09-18T05:29:00","guid":{"rendered":"https:\/\/renewable-carbon.eu\/news\/?p=131792"},"modified":"2023-09-13T12:33:54","modified_gmt":"2023-09-13T10:33:54","slug":"investeu-eif-invests-e50-million-to-support-circular-plastics","status":"publish","type":"post","link":"https:\/\/renewable-carbon.eu\/news\/investeu-eif-invests-e50-million-to-support-circular-plastics\/","title":{"rendered":"InvestEU: EIF invests \u20ac50 million to support circular plastics"},"content":{"rendered":"\n\n\n<ul class=\"wp-block-list\">\n<li><strong>The EIF has invested \u20ac50 million in Infinity Recycling&#8217;s\u00a0Circular Plastics Fund to accelerate circularity in the plastics\u00a0industry.<\/strong><\/li>\n\n\n\n<li><strong>With a target size of \u20ac150 million, the fund will bolster the\u00a0industrial and commercial scale-up of companies enabling advanced\u00a0recycling of\u00a0plastics.<\/strong><\/li>\n\n\n\n<li><strong>This agreement was made possible with the support of the InvestEU\u00a0programme, which aims to unlock over \u20ac372 billion in additional\u00a0investment\u00a0from 2021 to 2027.<\/strong><\/li>\n<\/ul>\n\n\n\n<p><strong>The European Investment Fund (EIF) has signed a \u20ac50 million\u00a0participation in Infinity Recycling&#8217;s Circular Plastics Fund I SCSp, a\u00a0European impact fund\u00a0that invests in companies developing new processes\u00a0for the advanced recycling of plastics. The fund supports companies with\u00a0scalable technologies that\u00a0need financing for the industrial and\u00a0commercial scale-up of their operations. The Circular Plastics Fund has a\u00a0target size of \u20ac150 million, a third of which\u00a0is covered by the EIF&#8217;s\u00a0commitment. The transaction is supported by the InvestEU programme,\u00a0which aims to mobilise over \u20ac372 billion in additional\u00a0investment for EU\u00a0policy priorities over the 2021-27 period, as well as by the European\u00a0Investment Bank.<\/strong><\/p>\n\n\n\n<p>As traditional (mechanical) recycling causes plastics to lose their&nbsp;initial properties (safety for food use, strength, or elasticity), the&nbsp;Circular Plastics Fund&nbsp;supports advanced recycling technologies. These&nbsp;include chemical processes that enable the full recycling of end-of-life&nbsp;plastic waste, producing new&nbsp;plastics with virgin-equivalent properties&nbsp;and reintroducing them into the existing value chain. The fund can thus&nbsp;play a role in enabling a fully circular&nbsp;plastics industry.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cFor most Europeans recycling is already an integral part of\u00a0their daily lives. Establishing a true circular economy also requires\u00a0industrial solutions that\u00a0allow plastics to be recycled fully,\u00a0efficiently and many times over,\u201d\u00a0commented\u00a0<strong>Commissioner for Environment, Oceans and Fisheries Virginijus\u00a0Sinkevi\u010dius<\/strong>.\u00a0\u201cToday&#8217;s\u00a0funding through InvestEU will help innovative European companies\u00a0advance a circular plastics industry, acting as a booster for the\u00a0EU&#8217;s\u00a0green transition.\u201d<\/p>\n\n\n\n<p>\u201cThe proportion of plastic packaging that is recycled is still far too low,\u201d\u00a0said\u00a0<strong>EIF Chief Executive\u00a0Marjut Falkstedt<\/strong>.\u00a0\u201cOur\u00a0climate change and\u00a0environmental sustainability challenge is a\u00a0combination of many different issues, and the excessive use of plastics\u00a0is a major factor. A lot can be achieved\u00a0by changing our habits, but\u00a0innovation is key to finding new ways of dealing with structural plastic\u00a0use and making sure we use every piece of plastic as\u00a0many times as\u00a0possible. With the support of the InvestEU programme, we are very happy\u00a0to be supporting this kind of innovation.\u201d<\/p>\n\n\n\n<p>\u201cDemand for the use of recycled commodities in plastics\u00a0production is on the rise, but only a few advanced plastics recycling\u00a0technologies have been\u00a0able to achieve commercial scale,\u201d\u00a0added\u00a0J<strong>eroen Kelder,\u00a0Managing Partner at Infinity Recycling<\/strong>.\u00a0\u201cWhile\u00a0these technologies are often viable, many\u00a0companies lack the\u00a0specialised financial structuring and business development skills\u00a0required to scale up production, source high-quality inputs and\u00a0establish supply agreements with offtake counterparties. We are thrilled\u00a0by this investment from the EIF, which pushes our\u00a0Circular Plastics Fund beyond\u00a0the \u20ac105 million threshold and empowers us\u00a0to accelerate circularity in the plastics industry through an\u00a0impact-driven strategy.\u201d<\/p>\n<\/blockquote>\n\n\n\n<p>The fund is established in Luxembourg and is managed by&nbsp;Rotterdam-based fund manager Infinity Recycling BV. The InvestEU support&nbsp;for the EIF&#8217;s&nbsp;participation in the fund falls under the initiative&#8217;s&nbsp;thematic \u201cJoint Equity Product\u201d and \u201cClimate &amp; Environmental&nbsp;Sub-Product\u201d windows.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Background information<\/h3>\n\n\n\n<p>The European Investment Fund is part&nbsp;of the European Investment Bank Group. Its main goal is to support&nbsp;microenterprises and small businesses by helping them to access finance.&nbsp;The EIF designs and develops venture and&nbsp;growth capital, guarantees and&nbsp;microfinance instruments that specifically target this market segment.&nbsp;In this role, the EIF&nbsp;contributes to the pursuit of key EU policy&nbsp;objectives such as competitiveness and growth, innovation and&nbsp;digitalisation,&nbsp;social impact, skills and human capital, climate action&nbsp;and environmental sustainability.<\/p>\n\n\n\n<p>The InvestEU programme&nbsp;provides the European Union with crucial long-term funding by&nbsp;leveraging substantial private&nbsp;and public funds in support of&nbsp;sustainable recovery. It also helps mobilise private investment for EU&nbsp;policy priorities, such&nbsp;as the European Green Deal and the&nbsp;digital transition. InvestEU brings together under one roof a multitude&nbsp;of EU financial instruments previously&nbsp;available to support investment&nbsp;in the European Union, making funding for investment projects in Europe&nbsp;simpler, more efficient and more flexible. The&nbsp;programme consists of&nbsp;three components: the InvestEU Fund, the InvestEU Advisory Hub and the&nbsp;InvestEU Portal. The InvestEU Fund is deployed&nbsp;through implementing&nbsp;partners that will invest in projects using the EU budget guarantee of&nbsp;\u20ac26.2 billion. The entire budget guarantee will back the&nbsp;investment&nbsp;projects of the implementing partners, increasing their risk-bearing&nbsp;capacity and thus mobilising at least \u20ac372 billion in additional&nbsp;investment.<\/p>\n\n\n\n<p>Infinity Recycling BV&nbsp;was established in 2019 to&nbsp;create markets for end-of-life waste streams by investing in advanced&nbsp;recycling technologies that&nbsp;enable circularity in the plastics industry.&nbsp;Their first offering, the Circular Plastics Fund, contributes to&nbsp;solving the plastic waste problem and unlocking&nbsp;much-needed capacity in&nbsp;high-demand recycled commodities. The fund implements a return and&nbsp;impact-driven investment strategy that drives value&nbsp;creation in advanced&nbsp;recycling and accelerates the transition to a circular economy for&nbsp;plastics. Since its first closing in February 2022, the fund has&nbsp;made&nbsp;seven investments. Building on the momentum in investor interest and&nbsp;deployment, the fund is well on its way to final closing, projected for&nbsp;Q4&nbsp;2023.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The European Investment Fund (EIF) has signed a \u20ac50 million\u00a0participation in Infinity Recycling&#8217;s Circular Plastics Fund I SCSp, a\u00a0European impact fund\u00a0that invests in companies developing new processes\u00a0for the advanced recycling of plastics. The fund supports companies with\u00a0scalable technologies that\u00a0need financing for the industrial and\u00a0commercial scale-up of their operations. The Circular Plastics Fund has a\u00a0target size [&#8230;]<\/p>\n","protected":false},"author":59,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_seopress_robots_primary_cat":"none","nova_meta_subtitle":"Infinity Recycling BV\u00a0created markets for end-of-life waste streams by investing in advanced\u00a0recycling technologies that\u00a0enable circularity in the plastics industry","footnotes":""},"categories":[17143],"tags":[10416,11966,10453],"supplier":[2317,8282,22731,5585,20774],"class_list":["post-131792","post","type-post","status-publish","format-standard","hentry","category-recycling","tag-circulareconomy","tag-plastics","tag-recycling","supplier-european-commission","supplier-european-investment-bank","supplier-european-investment-fund-eif","supplier-european-union","supplier-infinity-recycling"],"_links":{"self":[{"href":"https:\/\/renewable-carbon.eu\/news\/wp-json\/wp\/v2\/posts\/131792","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/renewable-carbon.eu\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/renewable-carbon.eu\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/renewable-carbon.eu\/news\/wp-json\/wp\/v2\/users\/59"}],"replies":[{"embeddable":true,"href":"https:\/\/renewable-carbon.eu\/news\/wp-json\/wp\/v2\/comments?post=131792"}],"version-history":[{"count":0,"href":"https:\/\/renewable-carbon.eu\/news\/wp-json\/wp\/v2\/posts\/131792\/revisions"}],"wp:attachment":[{"href":"https:\/\/renewable-carbon.eu\/news\/wp-json\/wp\/v2\/media?parent=131792"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/renewable-carbon.eu\/news\/wp-json\/wp\/v2\/categories?post=131792"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/renewable-carbon.eu\/news\/wp-json\/wp\/v2\/tags?post=131792"},{"taxonomy":"supplier","embeddable":true,"href":"https:\/\/renewable-carbon.eu\/news\/wp-json\/wp\/v2\/supplier?post=131792"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}