Closed Loop Partners Launches Advanced Recycling Innovator Program As Part of its Circular Plastics Strategy

By Closed Loop Partners

July 15, 2020

New York, NY – Closed Loop Partners and its Center for the Circular Economy are launching the Advanced Recycling Innovator Program (ARIP) as part of a broader Advancing Circular Systems for Plastics Initiative. This program brings together nine innovative technology companies in advanced recycling, including APK AG, Brightmark, Carbios, Enerkem, gr3n, GreenMantra, JEPLAN, Plastic Energy, and PureCycle Technologies. Closed Loop Partners is working with these companies and a network of industry and non-profit stakeholders to further analyze the environmental and human health impacts of advanced recycling processes and identify investable opportunities along the supply chain to scale safe and circular technologies that address plastic waste.

With only 9% of the world’s plastics currently recycled and demand for plastics expected to triple by 2050, there is an urgent need to address the growing global plastics crisis. Today, the majority of plastics end up in a landfill, or worse, our oceans and the natural environment. Yet, they represent valuable materials and therefore a missed opportunity. Demand for recycled plastics is expected to grow by 5.5x in the next five years, as many of the world’s largest consumer goods companies have made public commitments to use recycled content in their products and packaging. But, supply is lagging. A diverse suite of solutions will need to be mobilized to address the plastics crisis and keep valuable materials in circulation, benefiting people, the planet and business.

Advanced plastic recycling technologies, also known as “chemical recycling”, refers to a diversity of processes and technologies that transform waste plastics into new materials. Some of these break down plastics into their original building blocks, which can then be re-incorporated into manufacturing supply chains without diminished quality. Other technologies purify the plastics to virgin quality or modify the plastic to create specialty polymers and waxes. In 2019, Closed Loop Partners released a seminal report on the current landscape of these technologies, and are now launching ARIP as part of the next phase of research and exploration of safe and circular solutions to the plastic waste crisis. The technology companies represented in ARIP utilize one of three advanced recycling processes: decomposition, conversion or purification. Through these processes, plastics that were previously considered low value and hard-to-recycle mechanically can now be transformed into valuable novel products or building blocks to make new products or packaging, including food grade recycled content. When successfully scaled, these processes can uniquely complement mechanical recycling, ensuring that there is a market for the entire spectrum of recycled plastics to get a second, third, fourth or even infinite lease on life.

To further evaluate the potential of advanced recycling technologies, Closed Loop Partners has convened a group of brands, retailers, financial institutions and investors, petrochemical industry trade associations, plastic producers, and environmental NGO experts to engage with ARIP to learn more about the environmental and human health impacts of these technologies, as well as the current policy and investment landscape. As with any emerging technologies, thorough cross-industry analysis is essential to identify safe, efficient and scalable solutions.

Advanced recycling represents just one tool in the toolbox for addressing the global plastics challenge. A multi-faceted approach to reducing plastic waste is critical, from exploring innovative alternative materials to deploying reuse business models. What’s clear is that now is the time for progress. With mounting global plastic waste and increasing demand for recycled content, there is no better moment to collaborate, test, and scale safe and circular advanced recycling technologies that can play an important role in building a waste-free future.

Media Contact: [email protected]

 

Fortune 500 Brands & Corporate Foundations Extend Over $54 Million in Capital Commitments with Closed Loop Partners

By Closed Loop Partners

June 30, 2020

Investment will support urgent need for additional recycling infrastructure and the development of end markets, keeping valuable materials in circulation across the U.S.

New York, NY — Closed Loop Partners today announced that some of the world’s largest consumer brands and corporate foundations are extending more than $54 million in capital commitments with the Closed Loop Infrastructure Fund (CLIF). This extension is testament to the progress CLIF has made over the last five years toward building a more circular economy and the sense of urgency from these brands to accelerate their circular economy goals and support the transformation of the recycling system.

Today, the original nine investors in the fund – 3M, Coca-Cola, Colgate Palmolive, Johnson & Johnson Consumer Health, Keurig Dr. Pepper, PepsiCo, Procter & Gamble, Unilever and The Walmart Foundation – are extending their capital commitments, strengthening their investment in the infrastructure needed to build a more circular economy. Amazon, Danone North America, Danone Waters of America, Nestlé Waters North America and Starbucks have since joined the fund. Together, these companies’ major investments support additional recycling infrastructure and spur growth and technological innovation around end markets for post-consumer materials across North America. No company will be able to address the issue of plastic waste alone, and we need the industry to collectively work together to accelerate circular supply chains and keep materials in play.

With a global pandemic, growing climate risks and increasingly tighter municipal budgets, continued investment is critical to build our recovery infrastructure and economy back in a way that builds good job opportunities and safe and robust recovery systems to manage the critical inputs to product and packaging supply chains. And today, these brands show their shared commitment toward building back better and creating more efficient and effective systems to turn their product and packaging waste back into the inputs to future manufacturing.

The corporate investors in the Closed Loop Infrastructure Fund have proven the value created from investing in the circular economy. We invite other companies, brands and investors to join these industry leaders by investing with us in the infrastructure and technology needed to keep materials in manufacturing supply chains and out of landfills and marine environments – Ron Gonen, CEO of Closed Loop Partners.

The initial investment from these brands has already leveraged more than $200 million in co-investment, supporting the development of domestic recycling infrastructure, local jobs and new markets in cities across the country, including:

  • Eureka Recycling, Minneapolis, Minnesota: A locally operated nonprofit social enterprise, Eureka recovers nearly 100,000 tons of primarily residential recycling per year. This diverts valuable material from the incinerator or landfill and protects the health and environment of the local community. Eureka prides itself on its best-in-class operation, producing high quality material; the facility has one of the lowest contamination rates in the country. Eighty percent of the facility’s material stays in Minnesota and ninety percent in the Midwest, further spurring local growth. Eureka Recycling works everyday to demonstrate that waste is preventable not inevitable.
  • Emerald Coast Utilities Authority (ECUA), Florida: Since building its own state-of-the-art single stream facility, the ECUA materials recovery facility has become an asset for a region that had not previously had a long-term or reliable solution for processing recyclables. The facility generates economic benefits in the form of avoided tipping fees and revenue from commodity sales. For the 21-month period starting in January 2017, the facility generated $4.2 million in economic benefits. To date, the facility has operated at a profit margin between 10% and 30%, which gives ECUA capital to invest in other critical water, sewage, and solid waste infrastructure and programs.
  • TemperPack, Virginia: On the forefront of materials science innovation, TemperPack manufactures proprietary plant and fiber-based insulated packaging solutions for cold chain shipments, perishable food and pharmaceuticals. Their products replace the need for styrofoam, a type of plastic that contaminates recycling facilities. Instead, TemperPack’s solutions are certified curbside recyclable, bringing value to recovery systems across the U.S. as their materials are kept in circulation.

 

Today’s reinvestment announcement builds on the success of these projects and will fund similar projects to accelerate and build circular supply chains. Thirty-seven of the world’s largest consumer brands and retailers, including many of those fueling this investment, have made public commitments to use recycled plastics in their packaging within the next ten years. This signals the opportunity to shift billions of dollars from the “take, make, waste” linear supply chain to circular supply chains. Current projections indicate new real demand of 5 million to 7.5 million metric tons of recycled content by 2030, requiring an increase of supply of 200-300%. It will only be possible to meet this need through greater collective investment from brands to move technology along faster.

Brands and investors interested in learning more about CLIF or getting involved should contact [email protected].

Quotes from Our Investors

By connecting the dots across the entire value chain, Closed Loop Partners is committed to keeping valuable materials in play. With our ambitious goals around recyclability in practice and at scale, as well as the use of recycled content in our products, we need companies like Closed Loop Partners to continue to increase the efficiency of supply chains so that we can access more recycled content. The demand is there, but the supply side needs investment and that’s why we’re reinvesting our capital with Closed Loop Partners. Let’s continue the good work! – Ann Tracy, CSO, Colgate Palmolive

Keurig Dr Pepper’s business is fueled by the power of partnerships which we use to drive positive impact.  We signed on as original investors in Closed Loop Partners’ Infrastructure Fund to address waste and pollution in North America. As the waste system and potential solutions continue to evolve, there is still work to be done. Today we are recommitting to the important work being done by CLP and our co-investors by reinvesting in the Infrastructure Fund and continuing to strengthen domestic recycling capacity and technology across the country – Monique Oxender, Chief Sustainability Officer, Keurig Dr Pepper

We joined the Closed Loop Investment Fund as a founding member because it is an innovative impact investment opportunity that we believe will increase access to recycling infrastructure across the U.S. Based on the rigorous performance criteria for the Fund, it has been a wise investment decision for our company and we have decided to reinvest for another five-year term. The Fund has shown how industry leaders can come together to advance the circular economy and create a more sustainable future – Paulette Frank, VP, Environmental Health, Safety & Sustainability, Johnson & Johnson

At 3M, Science for Circular is one of our top sustainability priorities and we are committed to advancing design solutions that do more with less material. To reach our targets and promote a global circular economy, we need to ensure recycled materials are widely available. Closed Loop Partners is on the front lines of this work and their investment in recycling facilities across the country has driven much needed growth. We are proud of our continued collaboration and aim to build on the momentum we are seeing in the recycling sector to create a better future – Gayle Schueller, Vice President and Chief Sustainability Officer, 3M

At Coca-Cola we care about the environment and the natural resources we all share. That’s why we set a global goal to collect and recycle the equivalent of every bottle or can we sell globally by 2030. We know we can’t reach this goal without significant partners like the Closed Loop Fund who are helping to address the gaps in the domestic recycling system. We’re excited to continue our investment in the Closed Loop Fund and support their meaningful progress to optimize and upgrade recycling infrastructure as we work to realize our vision for a World Without Waste – Bruce Karas, Vice President, Safety and Sustainability, Coca-Cola North America

At PepsiCo, we’re striving to build a world where plastic need never become waste by reducing, recycling and reinventing our packaging. But we know we can’t do it alone. Through our investment in Closed Loop Partners’ Infrastructure Fund, recycling facilities across the country are being improved, helping give new life to materials and driving sustainable change. We are committed to building a circular future for packaging and know that impact at scale requires partnerships like this – Tim Carey, Vice President of Sustainability, PepsiCo Beverages North America

Now more than ever we are committed to making a positive impact on society and the environment. Strengthening and developing recycling infrastructure across North America is a critical part of this. Closed Loop Partners’ investment track record proves that investing in the development of the circular economy is not only environmentally beneficial but also good for the economic recovery. Increased access to recycling creates thriving communities, spurring innovation in end markets, getting materials back into supply chains for reuse and creating a healthier environment – Virginie Helias, Chief Sustainability Officer, Procter & Gamble

Our plastics commitments include halving our use of virgin plastic and collecting and processing more plastic than we sell by 2025. Investing in recycling infrastructure is key to both of these goals, and Closed Loop Partners helps make it possible to support a circular economy for plastics. Our vision is a world where everyone works together to keep plastic within the circular economy and out of the environment – Viviana Alvarez, Head of Sustainability for Unilever North America

The plastics value chain needs to be rewired for circularity, and innovation and infrastructure investments are needed to seriously address the plastic waste issue in the United States. We are proud to be a lead investor in the Closed Loop Infrastructure Fund to continue to advance waste reduction solutions in communities across the country – Chelsea Scantlan, Senior Program Officer, The Walmart Foundation 

 

 

 

 

About Closed Loop Partners
Closed Loop Partners is a New York based investment firm comprised of venture capital, growth equity, private equity, project finance and an innovation center. The firm invests in the circular economy, a new economic model focused on a profitable and sustainable future. In 2014, Closed Loop Partners established the Closed Loop Infrastructure Fund (CLIF) that provides zero interest and below market rate loans to companies and municipalities building recycling and circular economy infrastructure in North America. Investors in CLIF include Amazon, 3M, Coca-Cola, Colgate Palmolive, Danone North America, Danone Waters of America, Johnson & Johnson Consumer Health, Keurig Dr. Pepper, Nestlé Waters North America, PepsiCo, Procter & Gamble, Starbucks, Unilever and The Walmart Foundation. Learn more at www.closedlooppartners.com.

Closed Loop Partners Invests $2 Million in Reterra to Further Close the Loop on PET Plastic & Keep Valuable Materials in Play

By Closed Loop Partners

March 03, 2020

Using advanced recycling technologies, Reterra turns discards from the plastic recycling process into high-value intermediary products.

NEW YORK, March 3 — Today, Closed Loop Partners announces a $2 million investment in Reterra, a Houston-based advanced recycling company founded in 1999. Reterra’s technology turns waste byproduct streams of PET plastic that are produced during the recycling process into high value intermediary products. In doing so, Reterra creates a market for material that would otherwise typically end up in a landfill, while also improving the overall economics of PET recycling.

With 3-6% of material lost throughout the recycling process of PET, and the demand for recycled plastic set to grow, there is a significant and growing opportunity for recapturing the discarded material from PET recyclers. Thirty seven of the world’s largest brands and retailers have made public commitments to incorporate a specified amount of recycled content in their packaging within the next ten years. This demand creates the pull through the recycling system and sends signals to packaging suppliers and manufacturers to shift their supply chains in order to include more recycled content.

“Reterra’s advanced process serves a critical role in lowering the cost of PET recycling by capturing even the smallest discards of material and making a high value product from them. This solves a system-wide issue that will become increasingly important as the market for recycled plastics continues to grow,”

Ron Gonen, CEO of Closed Loop Partners.

Reterra’s innovative technology transforms the discards into a liquid intermediary that becomes useful feedstock for a number of different applications, thus turning waste into value. The investment from Closed Loop Partners will help finance the move into their recently-acquired new facility and upgrade equipment to increase capacity and meet new customer demands. The new plant will double capacity immediately, enabling them to increase processing to almost 100 million pounds of material annually within two years.

“For the last five years we’ve been operating at capacity, but with the help of Closed Loop Partners we are now able to take our business to the next level and capitalize on the growing market demand for our products,”

Jason Ball, President of Reterra.

The investment comes via Closed Loop Partners’ Infrastructure Fund, its first project finance fund. The fund is backed by the world’s largest brands and retailers and aims to build recycling and circular economy infrastructure across the United States to better recapture materials and get them back into manufacturing supply chains.

About Closed Loop Partners

Closed Loop Partners is a New York based investment firm comprised of venture capital, growth equity, private equity, project finance and an innovation center. The firm invests in the circular economy, a new economic model focused on a profitable and sustainable future. Investors include many of the world’s largest consumer goods companies and family offices interested in investments that provide strong financial returns and tangible social impact.

Media contact: [email protected]

NextGen Consortium Begins Piloting Sustainable Cup Solutions in San Francisco Bay Area

By Closed Loop Partners

February 18, 2020

Local cafes join the Consortium’s efforts to advance reusable, recyclable and/or compostable cup solutions in select pilots

SAN FRANCISCO, Feb. 18, 2020 /PRNewswire/ — Today, the NextGen Consortium — a multi-year consortium that addresses single-use food packaging waste globally by advancing the design, commercialization and recovery of food packaging alternatives — announced the launch of reusable cup pilots in local cafes in the City of San Francisco and City of Palo Alto, CA.

Two of the 12 NextGen Cup Challenge winners – CupClub and Muuse – will pilot their respective “smart” reusable cup systems in open environments across clusters of local cafes on a rolling basis over the coming weeks. Live piloting offers these cup companies the opportunity to further test, learn and innovate according to the unique material, technical and operational changes necessary to facilitate a seamless and convenient transition to reusable cups for customers and companies. The size and complexity of the pilots, along with the customer feedback and data captured during them, will provide valuable insights into each cup’s technical feasibility, business viability, user desirability and circular resiliency. Alongside participating local cafes, the City of Palo Alto will be hosting cup drop off points in a number of civic buildings downtown and the City of San Francisco has helped to facilitate connections with local businesses.

Scaling the next generation cup won’t happen overnight; the cup system is complex and calls for multiple layers of testing. From the ability for baristas and customers to handle cups with ease, to alignment with diverse waste recovery systems after-use, testing is key. Reusable cup systems will need to be cost-competitive, integrate smoothly across diverse operations and technology platforms, minimize operational disruption, and have a positive impact on the environment and meet the convenience and performance standards customers know and trust in order to scale.

These pilots build on the NextGen Consortium’s work to advance the development of new, alternative cup solutions through the necessary iterative loops of innovation and testing before scaling. Additionally, in March, two NextGen Cup Challenge winners — Footprint LLC and PTT MCC Biochem Company Limited — will also begin pilots in cafes in Oakland, testing their single-use cup solutions that pioneer alternative materials for cups and cup liners that are recyclable and/or compostable. These ensure that the valuable materials in cups are kept in circulation and out of landfills and the natural environment.

The NextGen Consortium is managed by Closed Loop Partners’ Center for the Circular Economy. Starbucks and McDonald’s are founding partners, with The Coca-Cola Company, Yum! Brands, Nestlé and Wendy’s as supporting partners, The World Wildlife Fund as the advisory partner and global design firm IDEO as the innovation partner. IDEO is designing and running the pilots in the San Francisco Bay Area on behalf of the NextGen Consortium.

“We know finding a more sustainable cup solution will continue to require partnership and innovative thinking,” says Michael Kobori, Chief Sustainability Officer at Starbucks. “The ongoing work from the NextGen Cup Consortium provides valuable insights and learnings for all the members, us included, as we continue to explore a variety of ways to better manage our waste and reduce our environmental footprint.”

“We’re excited to see many of the winning ideas become potential solutions that can be tested in a customer-facing environment,” says Marion Gross, Senior Vice President and Chief Supply Chain Officer, McDonald’s North America. “Finding a cup that can be scaled will require continued innovation, testing and honing of solutions, so these pilots are an important step forward on that journey.”

Together, the NextGen Consortium’s unprecedented collective of brands are helping to shape the ultimate form these cup innovations will take in the world. “As we strive to build a more circular economy in which we design out waste, unique partnerships are essential,” says Kate Daly, Managing Director at Closed Loop Partners. “Our work to engage diverse stakeholders, from brands to universities to NGOs, ensures that we create the necessary robust testing framework to help these cup teams succeed.”

These pilots represent one important initiative within the broader work of the NextGen Consortium to create long-lasting, positive change across the cup system. The NextGen Consortium takes a systems view, pairing upstream product innovation with downstream recovery infrastructure. The Consortium brings together leading food and beverage companies to work together pre-competitively to identify and scale solutions that work for the whole industry.

Participating Local Cafes

Reusable Cup Pilots: Palo Alto, CA

CupClub:

  • Coupa Cafe:
    • Ramona
      • 538 Ramona St, Palo Alto, CA
    • Lytton
      • 111 Lytton Ave, Palo Alto, CA
    • GSB
      • 655 Knight Way, Stanford, CA
    • Green Library
      • 571 Escondido Mall, Stanford, CA 94301
  • Verve Coffee Roasters
    • 162 University Ave, Palo Alto, CA 94301

DROP POINTS

  • Cafe Venetia (drop point only):
    • 419 University Ave, Palo Alto, CA 94301
  • City of Palo Alto (drop point only):
    • City of Palo Alto City Hall
      • 250 Hamilton Ave, Palo Alto, CA 94301
  • Coupa Cafe Y2E2 (drop point only):
    • 473 Via Ortega, Stanford, CA

Reusable Cup Pilots: San Francisco, CA

Muuse:

  • Andytown Coffee Roasters
    • 181 Fremont St, San Francisco
  • Ritual Coffee Roasters
    • 432b Octavia St, San Francisco
  • Equator Coffees
    • 222 2nd St, San Francisco, CA 94105
  • La Boulangerie de San Francisco, Hayes
    • 500 Hayes St, San Francisco, CA 94102

Single-Use Cup Pilots: Oakland, CA

Footprint LLC:

  • Red Bay Coffee
    • 3098 East 10th Street Oakland, CA 94601
    • 2327 Broadway Oakland, CA 94612
    • 1503 Macdonald Ave Richmond, CA 94801
  • Equator Coffees
    • 175 Bay Pl, Oakland, CA 94610

PTT MCC Biochem Company Limited:

  • Snow White Coffee
    • 3824 Piedmont Ave, Oakland, CA 94611

About NextGen Consortium
The NextGen Consortium is a multi-year, global consortium that addresses single-use food packaging waste globally by advancing the design, commercialization, and recovery of food packaging alternatives. The NextGen Consortium is managed by Closed Loop Partners’ Center for the Circular Economy. Starbucks and McDonald’s are the founding partners of the Consortium, The Coca-Cola Company, Yum! Brands, Nestlé, and Wendy’s are supporting partners. The World Wildlife Fund (WWF) is the advisory partner and IDEO is the innovation partner. Learn more at www.nextgenconsortium.com.

About Closed Loop Partners
Closed Loop Partners is a New York based investment firm comprised of venture capital, growth equity, private equity, project finance and an innovation center. The firm invests in the circular economy, a new economic model focused on a profitable and sustainable future. Investors include many of the world’s largest consumer goods companies and family offices interested in investments that provide strong financial returns and tangible social impact. In 2018, Closed Loop Partners launched the Center for the Circular Economy, a New York City-based collaboration center for innovators to commercialize products, services and technologies that are leading the transition from a linear take, make, waste economy to a restorative one in which materials are shared, re-used, and continuously cycled. Learn more at www.closedlooppartners.com.

Contact: [email protected]

SOURCE Closed Loop Partners

America’s Leading Beverage Companies Unite To Reduce New Plastic Use & Increase Collection Of Their Valuable Bottles Through ‘Every Bottle Back’ Initiative

The Coca-Cola Company, PepsiCo and Keurig Dr Pepper Will Support Circular Plastics Economy Through Investment and Action, in Conjunction with World Wildlife Fund, The Recycling Partnership & Closed Loop Partners

WASHINGTON – America’s leading beverage companies – The Coca-Cola Company, PepsiCo and Keurig Dr Pepper – today announced the launch of the Every Bottle Back initiative, a breakthrough effort to reduce the industry’s use of new plastic by making significant investments to improve the collection of the industry’s valuable plastic bottles so they can be made into new bottles. These competitors are coming together to support the circular plastics economy by reinforcing to consumers the value of their 100% recyclable plastic bottles and caps and ensuring they don’t end up as waste in oceans, rivers or landfills. This program is being executed in conjunction with two of the country’s most prominent environmental nonprofits and the leading investment firm focused on the development of the circular economy. The World Wildlife Fund (WWF) will provide strategic scientific advice to help measure the industry’s progress in reducing its plastic footprint and The Recycling Partnership and Closed Loop Partners will assist in deploying funds for the initiative.

“Our industry recognizes the serious need to reduce new plastic in our environment, and we want to do our part to lead with innovative solutions. Our bottles are designed to be remade, and that is why this program is so important. We are excited to partner with the leading environmental and recycling organizations to build a circular system for the production, use, recovery and remaking of our bottles. Every Bottle Back will ensure that our plastic bottles are recovered after use and remade into new bottles, so we can reduce the amount of new plastic used to bring our beverages to market. This is an important step for our industry, and it builds on our ongoing commitment to protecting the environment for generations to come.”

Katherine Lugar, president and CEO of the American Beverage Association (ABA)

The Every Bottle Back initiative, spearheaded by ABA, will:

  • Measure industry progress in reducing the use of new plastic in the United States through a collaboration with ReSource: Plastic, WWF’s corporate activation hub to help companies turn their ambitious plastic waste commitments into meaningful and measurable progress by rethinking the way plastic material is produced, used and recycled. Specifically, ABA will use the ReSource: Plastic accounting methodology to track on the collective progress made on executing strategies to reduce the use of new plastic as well as a resource in identifying additional interventions.
  • Improve the quality and availability of recycled plastic in key regions of the country by directing the equivalent of $400 million to The Recycling Partnership and Closed Loop Partners through a new $100 million industry fund that will be matched three-to-one by other grants and investors. The investments will be used to improve sorting, processing and collection in areas with the biggest infrastructure gaps to help increase the amount of recycled plastic available to be remade into beverage bottles.
  • Launch a public awareness campaign to help consumers understand the value of 100% recyclable bottles through community outreach and partner engagement and reinforce the importance of getting these bottles back, so they can be remade into new bottles. According to a poll conducted by Public Opinion Strategies (POS) on behalf of ABA, nearly half of consumers were unaware that America’s leading beverage companies are already making bottles that are 100% recyclable, including the caps.
  • Work together to leverage our packaging to remind consumers that our bottles are 100% recyclable and can be remade into new bottles. Beverage companies will begin introducing voluntary messaging on packages beginning in late 2020.

“Reaching our goal of No Plastic in Nature by 2030 will only happen if business, governments and the NGO community work together to fix a broken plastic material system. ABA is driving this sense of collaboration within the beverage industry to address one critical piece within this system, which is PET recycling in the U.S. Measured by our ReSource: Plastic footprint tracker, the efforts made through Every Bottle Back will be met with data-driven solutions to ensure that real progress is being made. We hope the ambition raised by this initiative will inspire other industries to follow suit within the broader effort to stop plastic waste pollution.”

Sheila Bonini, senior vice president of private sector engagement at WWF

“The beverage industry cannot deliver on its promises of sustainable packaging without serious improvements to the current U.S. recycling system. Working in partnership with the beverage industry on its Every Bottle Back initiative will help to improve local recycling and provide Americans with stronger recycling programs for all materials, including plastic bottles. We applaud ABA’s members for launching meaningful, measurable work.”

Keefe Harrison, chief executive officer of The Recycling Partnership

“The leadership exhibited by The Coca-Cola Company, PepsiCo and Keurig Dr Pepper provides the investment necessary to optimize recycling in these cities and states. This partnership will serve as a model for the effectiveness of industry collaboration in modernizing recycling infrastructure and driving a reduction in the use of virgin plastic.”

Ron Gonen, chief executive officer of Closed Loop Partners

The majority of plastic beverage containers in the United States are made from polyethylene terephthalate, or PET, a strong, lightweight and safe plastic approved by the U.S. Food and Drug Administration (FDA) for use in food and beverage containers. It is unique, and because of its quality and versatility, recycled PET for years has been in high demand for use in an array of products as varied as clothing, carpets and playground equipment. Through the Every Bottle Back initiative, beverage companies are stepping up efforts to reclaim as much plastic packaging as possible to ensure it is remade into new PET bottles.

These efforts support other sustainability efforts underway by The Coca-Cola Company, PepsiCo and Keurig Dr Pepper.

“We’re proud to come together with our competitors to address the serious issue of plastic waste in our environment. We know we cannot do this alone and, in order to meet our goals and those of our industry, we need to work in partnership to drive collective action to ensure our bottles have second, third and fourth lives through continued recycling and re-use.”

James Dinkins, president, Coca-Cola North America

“At PepsiCo, we are striving to build a world where plastics need never become waste. We are proud to collaborate with others in the industry and respected partners to advance that vision and to do the hard work needed to educate consumers, enable collections and inspire action to recycle our plastic bottles. More recycled plastic lessens the need for new plastic.”

Kirk Tanner, chief executive officer, PepsiCo Beverages North America

“We have seen the meaningful impact this industry can have when we collaborate, and we are proud to be partnering to reduce our collective use of new plastic, while increasing the recycling and reuse of our 100% recyclable bottles. The Every Bottle Back initiative supports KDP’s top environmental priority to reduce packaging waste, as we work to support a circular economy with strong collective action.”

Derek Hopkins, chief commercial officer, Keurig Dr Pepper

Learn more about the Every Bottle Back initiative at www.EveryBottleBack.org. To schedule an interview, please contact the ABA press office at [email protected].

Closed Loop Partners Invests in Algramo to Advance Affordable, Reusable Packaging Systems

Already in partnership with brands like Unilever, Algramo’s smart packaging reimagines the future of grocery shopping while eliminating single-use plastic packaging waste.

Contact: [email protected]

October 14 – Closed Loop Partners, a New York based investment firm focused on building the circular economy, announced today its investment in Algramo through its venture capital fund, Closed Loop Ventures (CLV).

Founded in 2012, Algramo is a Chilean based startup solving economic and environmental issues through its vending machines that dispense staple products, like household cleaners and grains “by the gram” to customers.

Jose “Cote” Manuel Moller, Founder and CEO of Algramo, saw first-hand in Santiago, Chile, how those living in low income neighborhoods were penalized by an effective 40% “poverty tax” for purchasing smaller packaged consumer products, unable to afford larger-format products.

“By creating low-cost reusable packaging and reducing the cost of distribution through our vending machines and dispenser system, we dramatically cut costs for customers and allow them to purchase small quantities of products at an affordable price. This benefits brands too who want to sell product, not packaging. Our system easily integrates into local bodegas, large grocery store chains, and can be delivered to a customer’s home through our mobile delivery app.”

Cote, Founder and CEO of Algramo

Awareness around the negative impacts of single-use packaging on human health and the environment is growing too. Packaging is ending up where it shouldn’t; in landfills, our oceans, or even as a contaminant in the recycling system.

“Reusable models like Algramo’s are an important and necessary step in the reduction of single-use plastic packaging. Algramo is a leading innovator showcasing a circular solution to a global waste issue by ensuring that valuable materials are kept in play for multiple uses.”

Danielle Joseph, Executive Director at Closed Loop Partners

Algramo’s smart packaging, equipped with RFID chips, also encourages and accelerates positive consumer behavior change so that individuals can easily and conveniently embrace a reuse revolution. Each time a customer refills their existing container or bottle with product, they earn credit that can be applied to future purchases, equating to an 11.5% discount on their next liter of detergent for example; the more the packaging is used, the more value it accrues.

Algramo already operates in over 2,000 family owned stores that reach over 325,000 end-customers in Santiago de Chile. Their business model has attracted the attention of a number of large brands, including Unilever, which is currently partnering with Algramo to pilot a mobile dispensing system that uses electric tricycles to deliver products to people’s homes via an app. Algramo was selected as a winner of the MIT SOLVE Circular Economy challenge. Algramo is now looking to expand their operations into the U.S. and beyond.

Closed Loop Ventures is leading Algramo’s Series A round. CLV makes early-stage equity investments in sustainable consumer goods companies, advanced recycling technologies, and services related to the circular economy – reducing waste or closing the loop on various materials. To date, CLV has invested in 18 companies spanning a number of sectors: recycling, textiles and apparel, and food and agriculture.

About Closed Loop Partners

Closed Loop Partners is an investment platform that invests in sustainable consumer goods, recycling and the development of the circular economy. Investors include many of the world’s largest consumer goods companies and family offices interested in investments that provide strong financial returns and tangible social impact. Learn more at www.closedlooppartners.com.

About Algramo

Algramo came into existence to solve a problem impacting millions of low-resource families: the poverty tax. This market failure occurs when low-resource families buy products in small formats and pay up to 50% more for products. Algramo solves the poverty tax with a reusable packaging distribution system that enables families to buy the exact quantity of products they need with bulk prices. Algramo is honored to bring together brands, retailers and packaging producers to work towards catalyzing reusable packaging on a globally significant scale to keep packaging in the economy and out of the environment.

Closed Loop Partners Acquires a Stake in Balcones Resources to Further Advance Recycling and the Development of the Circular Economy

By

October 03, 2019

Closed Loop Partners and Balcones Resources will expand recycling and circular economy infrastructure and services across the United States, recapturing valuable materials and returning them to the manufacturing supply chain.

Contact: [email protected]

October 3 – Closed Loop Partners, a New York based investment firm focused on building the circular economy, announced today the acquisition of a stake in Balcones Resources through its private equity fund, the Closed Loop Leadership Fund.

Balcones Resources is a nationally recognized, best-in-class environmental services company that has been in business for 25 years, handling commercial and residential recycling, among other services, in Texas and Arkansas. Their commitment to operational excellence, advanced technology, and long-term partnerships makes Balcones an ideal platform to scale the circular economy within their current markets and across the United States.

Kerry Getter, Chairman and CEO of Balcones will continue to lead the company. Getter says,

“The expertise that Closed Loop Partners brings to the new relationship will provide unprecedented opportunities for corporate management and shareholder growth. Balcones and Closed Loop Partners’ cultures are similarly aligned. Together, we will be able to enhance employee opportunities, services to our customers, and assist in achieving a diverse set of ambitious environmental goals.”

The partnership builds on Closed Loop Partners’ extensive network of strategic stakeholders across the recycling and manufacturing value chain, from supplier relationships with corporate partners to recycling facilities to manufacturers across the United States. By better connecting and integrating the system, costs and volatility in the market are reduced.

“We’re investing across the supply chain with a long-term view of a more profitable and sustainable future. By scaling best-in-class businesses like Balcones, we will strengthen recycling and circular economy infrastructure in the U.S.”

Ron Gonen, CEO of Closed Loop Partners

The Closed Loop Leadership Fund brings together corporate investors, institutional investors, family offices, and foundations committed to building circular supply chains that reduce costs, increase margins, and protect the environment we share.

About Closed Loop Partners

Closed Loop Partners is an investment platform that invests in sustainable consumer goods, recycling and the development of the circular economy. Investors include many of the world’s largest consumer goods companies and family offices interested in investments that provide strong financial returns and tangible social impact. Learn more at www.closedlooppartners.com.

About Balcones Resources

Balcones Resources began operations in 1994 and has grown into a nationally recognized firm and one of the top 50 recyclers in North America. With more than 200 employees across its three locations, Balcones is a recycling partner for municipalities, multi-tenant facilities, corporate campuses, manufacturing facilities and distribution centers. For more information on Balcones Resources and its environmental services, visit BalconesResources.com.

Disclaimer:

This publication is for informational purposes only, and nothing contained herein constitutes an offer to sell or a solicitation of an offer to buy any interest in any investment vehicle managed by Closed Loop Capital Management or any company in which Closed Loop Capital Management or its affiliates have invested. An offer or solicitation will be made only through a final private placement memorandum, subscription agreement and other related documents with respect to a particular investment opportunity and will be subject to the terms and conditions contained in such documents, including the qualifications necessary to become an investor. Closed Loop Capital Management does not utilize its website to provide investment or other advice, and nothing contained herein constitutes a comprehensive or complete statement of the matters discussed or the law relating thereto. Information provided reflects Closed Loop Capital Management’s views as of a particular time and are subject to change without notice. You should obtain relevant and specific professional advice before making any investment decision. Certain information on this Website may contain forward-looking statements, which are subject to risks and uncertainties and speak only as of the date on which they are made. The words “believe”, “expect”, “anticipate”, “optimistic”, “intend”, “aim”, “will” or similar expressions are intended to identify forward-looking statements. Closed Loop Capital Management undertakes no obligation to update publicly or revise any forward-looking statements, whether as a result of new information, future developments or otherwise. Past performance is not indicative of future results; no representation is being made that any investment or transaction will or is likely to achieve profits or losses similar to those achieved in the past, or that significant losses will be avoided.

Six Companies Graduate from the NextGen Circular Business Accelerator Ready to Scale Their Sustainable Cup Solutions

The NextGen Consortium, a pre-competitive collaboration managed by Closed Loop Partners in partnership with Starbucks and McDonald’s, accelerates towards a more circular cup system.

Contact: [email protected]

September 25 – NextGen Consortium Partners, investors, and other stakeholders convened during Climate Week in New York City for a Demo Day in which six participants in the NextGen Circular Business Accelerator showcased their manufacture-ready prototypes and pitch-ready business plans for growing their sustainable cup solutions.

The Accelerator follows Closed Loop Partners’ announcement of 12 NextGen Cup Challenge winners in February 2019. Six winning teams entered the NextGen Circular Business Accelerator, launched in partnership with global design firm IDEO to help companies further refine their cup solutions through rapid learning and iteration. The diverse solutions include cutting-edge plant-based materials, new innovative liners for cups, and reusable cup systems that redesign the fiber to-go cup so that it is more widely recoverable or remains in circulation for multiple uses. The six teams participating in the Accelerator are Colombier, CupClub, Footprint, Muuse, RECUP, and SoluBlue.

During the rigorous, six-month Accelerator program, companies accelerated their learnings through live in-context prototyping across four distinct Google campus locations, each housing multiple cafes. Progress for each cup solution was measured across four key categories: customer experience, server experience, performance, and disposal. Companies were able to see first-hand how customers and servers interact with their cups in a restaurant-like environment, capturing real-time feedback in a low-risk setting and identifying areas for refinement.

Companies also visited materials recovery facilities and explored the recovery side of the cup value chain, learning about the systems and infrastructure in place to ensure that their solutions are in alignment. Additionally, companies studied the value of materials recovered post-processing of their cups in order to make the economic case for more circular approaches.

Throughout the Accelerator, companies gained invaluable feedback through direct engagement with NextGen Consortium Partners, including founding partners Starbucks and McDonald’s, supporting partners The Coca-Cola Company, Yum! Brands, Nestlé, and Wendy’s, advisory partner WWF, and innovation partner IDEO. Feedback included insight into what it would take to roll out their solutions at a large scale.

“We are proud of the NextGen collaboration underway with so many companies championing greener cup technologies. We applaud Closed Loop Partners’ continued, on-track progress to determine what’s most viable, and we are excited for our own customers to try greener cups in our stores in the near future.”

John Kelly, senior vice president, Global Public Affairs & Social Impact at Starbucks

The companies were also welcomed behind the scenes of a McDonald’s restaurant to better understand how cups work within a store’s layout and staff operations.

“We were thrilled to have participants in the NextGen Circular Business Accelerator experience. Having these next gen solutions in our restaurants to see first-hand how our crew members manage through our restaurant operations is an important step. Compatibility with the fast pace of a QSR setting is critical, and it was great to see Accelerator teams jump at the opportunity to better understand these in-restaurant conditions. These cup solutions are helping shape the future of packaging, and we want to set them up for success while keeping valuable materials in circulation and, importantly, out of landfills and our oceans.”

Marion Gross, Senior Vice President and Chief Supply Chain Officer, McDonald’s USA

“Seeing how far participants in the NextGen Circular Business Accelerator have come is truly rewarding. The NextGen Consortium will continue to work with winning teams to ensure that when their solutions do enter market at scale they’re set up for success and recoverability.“

Kate Daly, Managing Director of the Center for the Circular Economy at Closed Loop Partners

The other six winners of the NextGen Cup Challenge, which are later-stage in their development, are working with the NextGen Consortium to identify in-market piloting opportunities in regions across the globe. Some participants in the NextGen Circular Business Accelerator are also expected to announce in-store pilots as early as 2020.

The Cup Challenge and the NextGen Circular Business Accelerator are just one part of the NextGen Consortium’s efforts to address single-use food packaging waste globally by advancing the design, commercialization, and recovery of food packaging alternatives. The Consortium is also focused on infrastructure and consumer engagement, supported by stakeholder collaboration across the value chain.

“Watching the aggregation of innovative ideas turn into real progress has been exciting to watch. Now we’ll look to the members of the NextGen Consortium to take these solutions into the marketplace and watch real change happen.”

Erin Simon, Director, Sustainability R&D, World Wildlife Fund

About NextGen

Each year, an estimated 250 billion fiber to-go cups are distributed worldwide. Most of these are not recyclable or compostable. The NextGen Consortium and Cup Challenge launched in 2018 to bring together entrepreneurs, industry, and recyclers to identify and commercialize the next generation of recyclable and/or compostable cups. Closed Loop Partners, Starbucks, McDonald’s, The Coca-Cola Company, Yum! Brands, Nestlé and Wendy’s invite the industry to join this effort to identify a global solution to this shared challenge.

About Closed Loop Partners

Closed Loop Partners is an investment firm that invests in sustainable consumer goods, recycling, and the development of the circular economy. Investors include many of the world’s largest consumer goods companies and family offices interested in investments that provide strong financial returns and tangible social impact.  In 2018, Closed Loop Partners launched the Center for the Circular Economy, a New York City-based collaboration center for innovators to commercialize products, services, and technologies that are leading the transition from a linear take, make, waste economy to a restorative one in which materials are shared, re-used, and continuously cycled. Learn more at www.closedlooppartners.com.

About McDonald’s

McDonald’s is the world’s leading global foodservice retailer with over 37,000 locations in over 100 countries. Over 90 percent of McDonald’s restaurants worldwide are owned and operated by independent local business men and women. This year McDonald’s announced a series of commitments demonstrating how it will use its Scale for Good to positively impact the planet and the communities it serves. You can read more about McDonald’s Scale for Good initiatives here.

About Starbucks

Since 1971, Starbucks Coffee Company has been committed to ethically sourcing and roasting high-quality arabica coffee. Today, with stores around the globe, the company is the premier roaster and retailer of specialty coffee in the world. Through our unwavering commitment to excellence and our guiding principles, we bring the unique Starbucks Experience to life for every customer through every cup. To share in the experience, please visit us in our stores or online at http://news.starbucks.com or www.starbucks.com.

NextGen Consortium Partners

NextGen Consortium partner logos

Sustainable Packaging Coalition and Center for the Circular Economy at Closed Loop Partners Announce Winner of the FlexPack Recovery Challenge

Start-ups from across the globe showcased their recovery technologies for a fast-growing category of hard-to-recycle flexible plastic packaging, and one winner was selected to join a mentorship program with the Sustainable Packaging Coalition & Closed Loop Partners.

CHARLOTTESVILLE, VA and NEW YORK, NY —  the Center for the Circular Economy at Closed Loop Partners and the Sustainable Packaging Coalition (SPC) have announced the winner of the FlexPack Recovery Challenge: ReNew ELP.

In October 2018, the SPC and the Center for the Circular Economy at Closed Loop Partners launched the FlexPack Recovery Challenge, an open competition for innovators, entrepreneurs, and start-ups to submit new ideas for reprocessing technologies capable of beneficially recovering multi-material flexible packaging waste.

Five finalists were selected by a panel of judges from the SPC and the Center for the Circular Economy at Closed Loop Partners staff, as well as with input from industry advisors. Each finalist participated in the SPC’s spring conference SPC Impact and presented to an audience of major brands, plastic manufacturers, and packaging suppliers, including members of the SPC’s Industry Leadership Committee on Multi-Material Flexible Recovery, on how their technologies can beneficially recover the embodied environmental investment within multi-material flexible packaging waste and can be scaled to provide meaningful solutions. These finalists included Cadel De-Inking, ReNewELP, Renewlogy, Synova-BioBTX, and Ekopolimer. Read more about all of our finalists.

Among the five finalists, ReNewELP was selected as the final Challenge winner. RenewELP will receive a free year of membership to the SPC and enter into a mentorship program jointly run by the SPC and Closed Loop Partners.

“RenewELP submitted a detailed,  transparent process description and market analysis. We were impressed with the processing capacity scale (up to  80,000 -100,000 tons per year in their initial facility) and the fact that their unique CAT-HTR technology allows for  mixed waste feedstocks, including paper, PET and organics. Their modular approach considers variable material costs in different markets and their end markets for diverse hydrocarbon products like oils, waxes, and chemicals represent large market potential. RenewELP is a great fit to participate in a mentorship program run by our organizations,”

said representatives from the SPC and Closed Loop Partners in a joint statement.

The SPC & The Center for the Circular Economy at Closed Loop Partners team followed up with Richard Daley, Managing Director of RenewELP, for a post challenge interview.

Read the Q&A with Richard here

The SPC and CLP believe that all of technologies presented by the Finalists represent the kinds of diverse solutions needed for recovery of flexible packaging. We look forward to staying in touch with all the finalists and tracking and promoting their progress.

Learn more about the FlexPack Recovery Challenge.

ABOUT THE CENTER FOR THE CIRCULAR ECONOMY AT CLOSED LOOP PARTNERS

The Center for the Circular Economy brings together industry experts, academic researchers, and entrepreneurs who are solving for today’s most pressing challenges in design and reuse, providing a collaboration center for innovators to commercialize products, services and technologies that are leading the transition from a linear take, make, waste economy to a restorative one in which materials are shared, re-used, and continuously cycled.

ABOUT THE SUSTAINABLE PACKAGING COALITION

The Sustainable Packaging Coalition is a membership-based collaborative led by an independent non-profit that believes in the power of industry to make packaging more sustainable. Using an objective life-cycle-based approach, we work in a constructive atmosphere to provide thought leadership and bring our members together to strengthen and advocate the business case for more sustainable packaging.