October 29, 2025, New York, NY –– Closed Loop Partners today announces a multi-million-dollar catalytic loan to Superior Fine Grind (“SFG”), an independently owned materials recovery facility (“MRF”) located in Connellsville, Pennsylvania––approximately 65 miles southeast of Pittsburgh. The financing was deployed by Closed Loop Partners’ Catalytic Capital & Private Credit group, supporting SFG’s plans to expand recycling services to municipalities and commercial businesses in surrounding rural communities. Proceeds of the loan have been used to finance new equipment and upgrades at SFG’s MRF, which will allow it to process and sort the increasing amount of post-consumer and post-industrial materials it is receiving. With the installation of new equipment now complete, SFG is positioned to meet the growing demand for recycling services in the communities it serves.

This loan to SFG reinforces Closed Loop Catalytic Capital & Private Credit’s long-term commitment to supporting private companies and municipalities developing projects that increase recycling capacity and access in the U.S. Founded in 2011, SFG is a MRF operator that is owned by Shawn Pilla, who is also the founder and owner of CAP Glass, one of the largest privately owned glass recycling companies in the United States. SFG processes both residential curbside and drop-off recyclables from several communities in Pennsylvania, including Fayette County, Somerset, Scottdale, South Union Township and North Union Township, as well as communities in West Virginia, such as Morgantown, the home of West Virginia University.

“Interest in recycling is quickly growing within our surrounding community, and we at Superior Fine Grind are dedicated to meeting that demand, supporting job development and expanding capacity to process the growing volumes of recycled materials at our facility,” said Shawn Pilla, Founder and Owner of Superior Fine Grind. “Recycling is a profitable, job creating U.S. industry, and the financing and support from Closed Loop Partners and its extensive network of partners plays a key role in helping us meet our expansion goals.”

Today, the U.S. recycling industry is at a critical point. The industry generates over $5 billion in revenue annually and supports over 600,000 jobs nationwide. As more cities work to meet zero waste goals, global companies demand more recycled material for their production processes to meet sustainability goals, and imported commodity prices increase, the case for investing in regional recycling systems has grown increasingly urgent.

Capital gaps in the credit markets underscore the role of loans with flexible financing terms. Closed Loop Partners has helped bring catalytic capital to the forefront as an important way to finance upgrades and expansions for MRFs, and to support the development of innovative recycling technologies. Closed Loop Catalytic Capital & Private Credit has a 10-year track record of deploying flexible catalytic capital to many leading recycling companies and municipal recycling programs in the U.S., and has played a key role in advancing new recycling technologies and scaling recycling infrastructure, especially in areas that have historically lacked the necessary recycling systems.

“We are proud to back an independent recycling company that has maintained a strong reputation in the industry for many years. Our catalytic loan to SFG creates opportunities to not only support vertically integrated companies which can create greater efficiencies in our recycling system, but also to expand sortation capacity to advance recycling services in rural communities in the U.S.,” said Ray Hugel, Director of Closed Loop Catalytic Capital & Private Credit. “We look forward to supporting more companies like SFG that are scaling recycling systems for all U.S. communities.”

Following this financing, Closed Loop Partners will continue to invest capital into circular economy infrastructure, and in solutions that keep a range of valuable materials––ranging from plastics, packaging and more––in circulation.

If you are interested in applying for funding from the Closed Loop Catalytic Capital & Private Credit group, please visit here.

About Closed Loop Partners

Closed Loop Partners is at the forefront of building the circular economy. The firm is comprised of three key businesses that create a platform for systems change: an investment group managing venture capital, private equity and catalytic capital & private credit investment strategies, Closed Loop Capital Management; an innovation center, the Center for the Circular Economy; and an operating group, Closed Loop Builders.

The firm’s catalytic capital & private credit investment strategy invests across four key strategies that complement and operate alongside each other to bridge existing financing gaps and scale circular economy infrastructure across North America: infrastructure, beverage, circular plastics and local recycling. Across these strategies, the Closed Loop Catalytic Capital & Private Credit group provides flexible and risk-tolerant capital to support private companies, organizations and municipalities to launch or develop projects, ultimately aiming to attract further investment and meet the criteria of driving net positive environmental and social outcomes. Closed Loop Partners is based in New York City and is a registered B Corp. To learn about the Closed Loop Catalytic Capital & Private Credit team, visit https://www.closedlooppartners.com/here.

About Superior Fine Grind

Superior Fine Grind is a leading independent recycling company dedicated to advancing the circular economy. Superior Fine Grind has built a reputation for reliability, efficiency, and community engagement. The company specializes in processing a variety of recycled materials, leveraging new state-of-the-art technology to ensure high-quality output while supporting local workforce development. By collaborating with its community and industry partners and investing in facility upgrades, Superior Fine Grind continues to play a pivotal role in strengthening recycling infrastructure and promoting environmental stewardship across the region.

Disclosure

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.

September 30, 2025, New York, NY –– Closed Loop Partners today announces a $10 million loan to TemperPack Technologies (“TemperPack”), a leader in sustainable, innovative packaging technology. The financing was deployed by Closed Loop Partners’ Catalytic Capital & Private Credit group and will support TemperPack’s continued growth in the sustainable packaging sector.

This financing marks Closed Loop Catalytic Capital & Private Credit’s third loan to TemperPack since 2018, reinforcing the group’s long-term commitment to supporting private companies that reduce waste and advance circular manufacturing. Deploying capital to innovative private companies such as TemperPack is an important component of Closed Loop Catalytic Capital & Private Credit’s strategy. The group is focused on providing flexible capital to support private companies, organizations and municipalities that have developed or are developing circular economy-focused projects or products, and are seeking more capital to drive net positive environmental and social outcomes.

Based in Richmond, Virginia, TemperPack develops innovative plant-based packaging and manufacturing technologies that help reduce waste and hard-to-recycle materials in supply chains. Its latest offering, WaveKraft, allows customers to simplify their operations and optimize packaging performance with an on-site, on-demand packaging manufacturing platform.

Photo Credit: TemperPack

Over the past several years, TemperPack has demonstrated strong growth and financial stability. This, coupled with near-term plans to further innovate and explore different business models that require outside capital, positioned them well for a follow-on loan. As more packaging companies transition their focus to fiber-based packaging, Closed Loop Catalytic Capital & Private Credit believes TemperPack will benefit from the shift. This financing complements Closed Loop Catalytic Capital & Private Credit’s loans to other entities up and down the circular economy value chain, including materials recovery facilities (“MRFs”) and municipal residential recycling programs, to advance material circularity.

Proceeds of this financing will be used to support TemperPack’s research and development, manufacturing and distribution of more sustainable and easier-to-recycle fiber-based products that help reduce the reliance on harder-to-recycle plastics such as Expanded Polystyrene Foam (EPS). While the use of EPS as a packaging material has declined, it continues to be used in industries such as food and beverage and healthcare. With limited infrastructure that can properly recycle EPS in the U.S., the material typically ends up in landfills or incinerated. Solutions like TemperPack’s helps address this challenge.

“TemperPack is a prime example of the kind of company we seek to support—established, forward-thinking and focused on reducing environmental impact through scalable innovation,” said Jennifer Louie, Managing Director of Closed Loop Catalytic Capital & Private Credit at Closed Loop Partners. “Our continued investment in TemperPack aligns with our mission to build a circular economy, reduce waste and promote sustainable manufacturing, not just through recycling, but by reducing the need for hard-to-recycle materials in supply chains.”

“We’re thrilled to continue our partnership with Closed Loop Partners as TemperPack enters its next phase of growth,” said Peter Wells, CEO of TemperPack. “Closed Loop Partners’ experience in material circularity, and extensive network of partners, has made them a key partner for our company’s growth. With this loan, we look to further scale our capacity and impact, helping reduce waste across major industries––including life sciences, food & beverage, electronics and home goods––while catalyzing the development of new circular products.”

The financing from Closed Loop Catalytic Capital & Private Credit signals its readiness to deploy larger amounts of capital and partner with sophisticated co-investors, including major financial institutions. With this transaction, Closed Loop Catalytic Capital & Private Credit becomes TemperPack’s second-largest lender, demonstrating the group’s ability to help impact-driven companies scale from early-stage innovators to more mature businesses with shovel-ready capital expenditure projects that advance the circular economy.

Following this financing, Closed Loop Partners will continue to support TemperPack as it expands its processing capacity, improves existing facilities and pursues new product development. Closed Loop Catalytic Capital & Private Credit continues to catalyze capital into circular economy infrastructure and solutions that keep a range of valuable materials in circulation.

If you are interested in applying for funding from Closed Loop Catalytic Capital & Private Credit, please visit here.

About Closed Loop Partners

Closed Loop Partners is at the forefront of building the circular economy. The firm is comprised of three key businesses that create a platform for systems change: an investment group managing venture capital, private equity and catalytic capital & private credit investment strategies, Closed Loop Capital Management; an innovation center, the Center for the Circular Economy; and an operating group, Closed Loop Builders.

The firm’s catalytic capital & private credit investment strategy invests across four key strategies that complement and operate alongside each other to bridge existing financing gaps and scale circular economy infrastructure across North America: infrastructure, beverage, circular plastics and local recycling. Across these strategies, Closed Loop Catalytic Capital & Private Credit provides flexible and risk-tolerant capital to support private companies, organizations and municipalities to launch or develop projects, ultimately aiming to attract further investment and meet the criteria of driving net positive environmental and social outcomes. Closed Loop Partners is based in New York City and is a registered B Corp. To learn about Closed Loop Catalytic Capital & Private Credit, visit https://www.closedlooppartners.com/here.

About TemperPack

TemperPack solves the toughest packaging problems, with science and sustainability. Since 2015, we’ve worked to displace legacy plastics with innovative, sustainable alternatives. With expertise in materials science, packaging design, and process engineering, we develop and scale solutions that match the performance of

traditional materials, without unnecessary plastic waste. Our products have protected over 200 million shipments worldwide for industry leaders including HelloFresh, Wild Alaskan Company, Cytiva, and New England Biolabs. For more information, visit www.temperpack.com.

Disclosure

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.

August 20, 2025, New York, NY – Today, Closed Loop Partners announces their acquisition of Agri-Cycle, a premier provider of organics collection for commercial & industrial sectors across the U.S. The acquisition was completed by Closed Loop Private Equity.

Since its inception in 2013, Agri-Cycle has expanded significantly, now operating as a leading provider of organics management services in the U.S. The company collects organic waste from over 2,400 locations across 14 U.S. states, and provides clients with education, collection, processing and disposal services, as well as data analytics and reporting to maximize cost savings and landfill diversion. They serve over 850 commercial and industrial customers, including Hannaford and other leading national players, addressing the ~$110 billion market for food waste management within the food industry.

Agri-Cycle’s acquisition takes place as strong regulatory tailwinds, including landfill disposal bans and organics diversion mandates in states including Maine, New Hampshire, Vermont and Massachusetts, accelerate demand for organics collection. Today, up to 40% of all food in the U.S. goes to landfill, equivalent to an estimated $340 billion in value and responsible for 58% of landfill methane emissions released to the atmosphere. With only 27 years of median landfill capacity remaining in the U.S.––and less in population centers––the need for scaled circular food waste management services is critical.

Following the acquisition, Agri-Cycle’s management team will partner with Closed Loop Partners to expand the company’s reach and services. With the firm’s deep experience in running circular economy businesses across a range of materials, and extensive ecosystem of the world’s largest corporations, institutional investors and notable family offices, Agri-Cycle has strategic support at a pivotal moment of expansion.

This is Closed Loop Private Equity’s most recent platform acquisition, employing a buy-and-build strategy to partner with companies and scale platforms and enabling technologies across plastics & packaging, circular technology, food & agriculture, the built environment, energy efficiency, textiles and healthcare, aiming to develop, accelerate and modernize circular supply chains and recycling & reuse infrastructure.

“Closed Loop Partners is proud to back Agri-Cycle, and partner with their management team to accelerate their path to scale and drive meaningful impact for organics circularity in the U.S. Through this acquisition, we can together capture the significant market opportunity for food and organic waste diversion in the U.S.,” said Jackson Pei, Co-head of Closed Loop Private Equity at Closed Loop Partners.

“The deep sector expertise and long tenured industry relationships of the Agri-Cycle team have laid a strong foundation for a platform positioned to scale both organically and through M&A,” said Daniel Phan, Co-head of Closed Loop Private Equity. “We look forward to supporting Agri-Cycle’s growth into a large national player for organics management, executing on a robust platform of acquisition targets and creating an ecosystem of best-in-class operating businesses in the industry,” added Derek Trott, Vice President of Closed Loop Private Equity.

Closed Loop Private Equity’s acquisition of Agri-Cycle marks a key milestone for Closed Loop Partners’ work to advance organics circularity––a key focus area for the firm alongside plastics & packaging, textiles and electronics. The firm’s broader work in organics spans solutions at every point of the value chain, including platforms to support regenerative food production, innovations to extend food shelf life, technologies to mitigate post-consumer organic waste, compostable packaging field tests, and composting and anaerobic digestion infrastructure.

“Our partnership with Closed Loop Partners marks the next phase of growth for Agri-Cycle Energy, as we work with their team and ecosystem toward our shared goal of driving a circular economy for organics,” said Dan Bell, CEO of Agri-Cycle. “Agri-Cycle has provided services to keep thousands of tons of food in circulation over the last decade. As the organics waste challenge grows more urgent, we look to continue meeting market demand, and work alongside Closed Loop Partners to accelerate impact at scale.”

To learn more about Closed Loop Partners, please visit here.

To learn more about Agri-Cycle, please visit here.

To learn more about Closed Loop Private Equity, please visit Closed Loop Partners’ website.

About Agri-Cycle

Agri-Cycle is the premier food-waste-collection service in the Northeast, and we are growing rapidly across the US.  We recycle organic waste via anaerobic digestion and composting, turning it into renewable energy and healthy soil.  Our partners include supermarkets, restaurants, universities, distribution centers, food processing plants, corporate cafeterias, school districts, municipalities, and hospitals. Agri-Cycle works in conjunction with sister companies, Stonyvale Farm (a fifth-generation family business) and Exeter Agri-Energy, as well as a growing network of anaerobic digestors that convert food waste into electricity, fuel, fertilizer, and other beneficial products. Our unique model is a fusion of Maine’s independent farming tradition and energy innovation. Waste collection is a critical component:  Agri-Cycle brings food full circle.

About Closed Loop Partners

Closed Loop Partners is at the forefront of building the circular economy. The company is comprised of three key business segments: its investment group, Closed Loop Capital Management; its innovation center, the Center for the Circular Economy; and its operating group, Closed Loop Builders. Closed Loop Capital Management manages venture capital, private equity and catalytic capital & private credit investment strategies.

Closed Loop Private Equity seeks to make control investments in cash flowing businesses and enabling technologies to scale platforms that are fundamental to the circular economy. Closed Loop Private Equity is focused on areas including plastics & packaging, circular technology, food & agriculture, the built environment, energy efficiency, textiles and healthcare. With a buy-and-build strategy, the team brings active capital solutions, operating experience, circularity expertise and the strategic network of the Closed Loop Partners ecosystem to capture opportunities for growth and accelerate the circular economy. Closed Loop Partners is based in New York City and is a registered B Corp.

Disclosure

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.

At Closed Loop Partners, we invest in companies that are not only solving urgent environmental challenges but also building resilience into the systems we rely on every day. Our investment in LAIIER—a Denver-based startup pioneering printed sensor technology for leak detection—is a reflection of this mission. LAIIER is tackling a critical and costly issue: liquid leaks in commercial and industrial buildings and infrastructure. By detecting water and other liquid leaks, they are enabling a future where our built environment is smarter, more sustainable, and more resilient to climate-related risks.

The Problem: Hidden Leaks, Escalating Risks

Leaks in buildings and infrastructure like wind turbines are a silent threat. They cause billions in damage annually, disrupt operations and contribute to the waste of finite water resources. In data centers, commercial real estate and industrial facilities, even minor leaks can lead to catastrophic failures. Traditional detection methods are slow and reactive, with average response times exceeding 80 hours. This delay not only drives up insurance claims and repair costs but also increases vulnerability to infrastructure stress, reducing the life of critical assets. The more rapidly these assets must be sunset, the more we need to rely on new materials to replace them––an increasing risk as global supply chains increase in volatility and material availability is less consistent.

LAIIER’s technology offers a proactive defense—detecting leaks before they become disasters and enabling buildings to respond faster and smarter.

The Solution: Smart Sensors for a Resilient, Less Wasteful Future

LAIIER’s innovation lies in its Severn WLD™ system—a printed, adhesive sensor that can detect as little as two drops of liquid. These ultra-thin, flexible sensors can be installed in hard-to-reach areas and integrated directly into building materials, including roofing systems. This is especially critical for data centers and other high-value infrastructure, where downtime from water damage can cost millions.

The sensors are paired with LAIIER Cloud™, a real-time monitoring platform that provides analytics, remote configuration and alerts. This combination enables rapid response to leaks, reducing the risk of structural damage, mold and system failures. It also supports long-term resilience planning by generating data that can inform predictive maintenance and infrastructure upgrades.

LAIIER’s impact extends beyond resilience. Their technology is a powerful enabler of the circular economy. By catching leaks early, LAIIER prevents damage to walls, floors and ceilings––materials that would otherwise end up in landfills. This approach reduces both water and material waste, all while helping customers lower their insurance premiums and utility costs––creating a compelling value proposition that’s both environmental and economic.

The Applications: Where Smart Sensors Are Most Needed Today

One of the most exciting applications of LAIIER’s technology is in integrated roofing systems. Through a strategic partnership with Carlisle Construction Materials––who also participated in this funding round––LAIIER is embedding sensors into roofing membranes. This creates “smart roofs” that can detect and localize leaks in real time, providing a critical layer of protection for buildings vulnerable to heavy rainfall.

Data centers also benefit significantly from partnerships with LAIIER. As we build more, faster to meet our growing demand for AI, increasingly hyperscalers are relying on water-based cooling technologies. This means leaks can come from the inside just as easily as from outside sources––and when water intrusion compromises sensitive equipment, it can lead to cascading failures.

Why Now?

Rising insurance costs, stricter building codes and increasing costs from damaged equipment and downtime are driving demand for proactive leak detection. LAIIER’s technology addresses all of these challenges––helping customers reduce risk, save resources and build smarter, more adaptive infrastructure.

We invested in LAIIER because we believe in their mission, their team and their technology. Co-Founders Matt Johnson and Bibi Nelson bring over a decade of experience in printed electronics and have built a culture of thoughtful, impact-driven innovation. With a differentiated product, a growing customer base and strong strategic partners in insurance, roofing and elsewhere, LAIIER is poised to become a category-defining company in smart infrastructure. We’re proud to support them as they help build a more resilient, circular and sustainable future.

Learn more about LAIIER here.

Disclosure

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.

Construction and demolition is now one of the biggest sources of waste in the world. By 2025, the annual volume of construction waste generated globally is expected to reach 2.2 billion tons.[1] In the U.S. alone, 600 million tons of construction and demolition debris were generated in 2018, more than twice the amount of municipal solid waste.[2]

The challenge lies not only in sheer volume, but in the complexity of construction materials. Non-concrete waste material––such as wood, drywall, asphalt shingles and tile––often have plasticizers (chemicals that make materials more flexible and easier to mold), trace or heavy metals and polychlorinated compounds in them, making it hard to recover those materials for their next lives. Furthermore, when those materials end up in landfills, they can leach those toxic chemicals into arable land and waterways––where they leave lasting environmental consequences.

Mycocycle, a biotechnology startup, found a solution to help address this complex challenge, inspired by fungi. Their patent-pending process improves the natural functions of fungi to transform construction waste into low-carbon raw materials for the built environment. Within a matter of weeks, their technology can turn organic waste from the built environment––such as carpet fiber and tires––into MycoFIBER©, MycoFILL© and MycoFOAM©, all raw materials that can replace virgin-derived materials.

Closed Loop Partners’ Ventures Group saw a key opportunity in Mycocycle’s technology, a solution that reimagined how materials can be recovered and kept in circulation. This aligned with Closed Loop Ventures Group’s focus on deploying early-stage funding to breakthrough circular solutions for foundational materials that underpin and influence vital sectors of the economy––from water and minerals to polymers and organics. Mycocycle’s solution to recover organic waste in the built environment unlocks new possibilities for circularity across a major industry.

Last year, Closed Loop Ventures Group led Mycocycle’s Series Seed extension to help address the growing challenge of construction waste––with participation from US Venture, the Illinois Department of Commerce and Economic Opportunity INVENT fund, and existing investor TELUS Pollinator Fund for Good.

Since then, over the past 10 months, the Mycocycle team has continued to impress––making significant progress on processing cost reductions and signing exclusivity agreements with major multinational companies for certain product categories. They are demonstrating that not only are their products not harboring the toxic chemicals of their inputs, but they are exhibiting significant performance improvements––in strength, elasticity and more––from the virgin-derived construction products they’re replacing.

Today, the team continues to operate in the south of Chicago––in a space nearly five times the size of the one they were working in over a year ago. And they are filling orders, using mycelium to transform organic waste from the built world into reusable, bio-based ingredients. Those ingredients are going into non-recoverable plastics, replacing food-grade fillers like corn stover, for which higher and better uses exist in biomanufacturing. They are also going into turf applications, replacing materials that have been outlawed in some geographies because of excessive microplastic shedding that pollutes airways and waterways. With products that are both cost competitive against the incumbents and gross margin accretive for the business, Mycocycle is on a path to scale that has already unlocked significant reductions in their processing costs––and there is still room for growth.

A big part of how Closed Loop Ventures Group invests is by identifying founders and leadership teams who balance a “no quitting” attitude with the detail orientation and the project management expertise to move the needle on tough challenges. Joanne Rodriguez, Founder & CEO of Mycocycle, and Colin Litow, COO of Mycocycle, exemplify these characteristics, creating a strong foundation for their team through its next phase of growth.

Today’s reality is that the built environment is still in the early stages of bringing circular principles to bear in the lion’s share of applications. Asynchronous design and demolition processes make it challenging to identify reuse and next life opportunities for materials, and the lifecycle of a building is long enough that it’s rare for an organization to think about disassembly and deconstruction at the time of design. Even if they were, less than 2% of the building stock is new each year.[3] Much more focus is needed on managing renovation and retrofit processes––not just tracking, but on finding new homes for the materials once they’re removed.

Mycocycle is a core part of the solution, as are the companies exploring opportunities to maintain or reduce costs while using recovered materials as inputs into their products. Closed Loop Partners’ Ventures Group is excited to continue to work with the Mycocycle team and those across the manufactured world as they lay the groundwork for a more circular future for the built environment.

About Closed Loop Ventures Group at Closed Loop Partners

Closed Loop Partners is at the forefront of building the circular economy. The firm is comprised of three key businesses that create a platform for systems change: an investment group managing venture capital, buyout private equity and catalytic private credit investment strategies, Closed Loop Capital Management; an innovation center, the Center for the Circular Economy; and an operating group, Closed Loop Builders.

The firm’s venture capital strategy, the Closed Loop Ventures Group, has been investing early-stage capital into companies developing breakthrough circular solutions for foundational materials that underpin and significantly influence a wide array of vital sectors of the economy. These materials include organics, minerals, polymers and water. Closed Loop Ventures Group partners with founders and companies who rethink how products are designed, manufactured, consumed and recovered, with the shared vision of reimagining supply chains and eliminating waste. Closed Loop Partners is based in New York City and is a registered B Corp.

To learn about the Closed Loop Ventures Group and apply for funding, visit www.closedlooppartners.com.

 About Mycocycle

Mycocycle, Inc. is a nature-inspired and woman-owned biotechnology startup that leverages fungi to transform industrial waste into reusable materials. Founded in 2018, the company drives circularity in the construction supply chain and diverts waste from landfills. Mycocycle blends lab-cultivated fungi with debris at the point of waste generation to transform waste into new raw materials. To learn more, visit http://www.mycocycle.com.

[1] Source: Construction Dive.

[2] Source: Environmental Protection Agency.

[3] Source: https://www.usgbc.org/articles/existing-buildings-99

Disclosure

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.

February 20, 2025, New York, NY – Today, Closed Loop Partners’ portfolio company, Sage Sustainable Electronics (“Sage”), announces their acquisition of IT Asset Disposition (ITAD) company, Cascade Asset Management (“Cascade”). Cascade is a longstanding leader in the IT Asset Disposition (ITAD) industry, providing hardware asset lifecycle management, reuse, refurbishment and disposition services. Following its acquisition of Cascade, Sage Sustainable Electronics becomes one of the largest pure ITAD service providers in the United States.

The acquisition takes place amidst increasing demand to bring valuable electronics––and their critical mineral components––back into circulation for reuse in domestic supply chains in the U.S. The acquisition accelerates Sage’s path to becoming the leading platform within the ITAD industry, servicing major corporations through IT asset recovery and lifecycle extension. The acquisition was completed through Closed Loop Partners’ buyout private equity group focused on buying and building platforms to advance a circular economy.

Closed Loop Partners first joined forces with Sage in 2023 as a majority shareholder in the company, aiming to accelerate the company’s growth and strengthen its position as a leading provider of sustainable ITAD services in North America. Since then, Sage has been at the forefront of advancing a circular economy for electronics. The company provides secure reuse and recovery solutions to businesses seeking to sustainably dispose of their IT assets.

Today, Sage faces an evolving IT industry. Responding to pressures for improved materials recovery and cost efficiency, device lifecycles are being extended, with an average refresh cycle by IT departments of two years for smart phones, four years for laptops and five years for printers. Amidst increasing demand for services to extend the lifecycle of electronic devices, Sage completed its acquisition of Cascade, bolstering capabilities including de-manufacturing and reuse, and increasing reusability yield.

“Cascade is among the most respected IT Asset Disposition companies in the industry, bringing over two decades of experience and a comprehensive suite of electronics recovery solutions that complement Sage’s growing platform,” said Bob Houghton, CEO of Sage Sustainable Electronics. “This marks an important milestone for Sage, as we accelerate progress toward increased market reach and scaled impact. We are thrilled to join forces with Cascade, an experienced operator in the industry, expanding our platform to keep more electronics in circulation across industries.”

Founded in 1999, Cascade brings over 25 years of experience as an industry-leading IT Asset Disposition company, headquartered in Madison, Wisconsin. The company’s services include reuse, refurbishment, de-manufacturing, recycling and resale, providing additional scale, capabilities and human resources to Sage’s platform. Cascade brings in a strong customer base in the healthcare, manufacturing and technology sectors, creating opportunities to advance circularity across more industries. With facilities in Wisconsin, Indiana and Florida, Cascade further expands Sage’s national footprint, deepening exposure in the Midwest and providing new exposure in the Southeast.

“We are proud to join forces with Sage Sustainable Electronics, growing their platform as one of the largest pure IT Asset Disposition service providers in the U.S.,” said Neil Peters-Michaud, Founder & CEO of Cascade. “Our aligned mission, complementary services and geographic footprint accelerate shared goals to transform the ITAD industry and meet growing demand for electronics recovery across industries. Together, we can reach more markets, laying the groundwork for greater impact.”

Closed Loop Partners’ buyout private equity group employs a buy-and-build strategy to partner with companies and scale platforms and enabling technologies across plastics & packaging, organics, circular technology, the built environment and textiles. The group aims to develop, accelerate and modernize circular supply chains and recycling & reuse infrastructure. The investment to support Sage’s acquisition of Cascade builds on Closed Loop Partners’ robust portfolio of investments to advance circularity for electronics––one of the firm’s key focus areas, alongside packaging, textiles, organics and more. Closed Loop Partners’ broader portfolio of investments in electronics circularity spans IT asset management and disposition, disassembly and remanufacturing, collection and reuse, and end-of-life electronics recycling.

“Closed Loop Partners is proud to back Sage Sustainable Electronics’ acquisition of Cascade Asset Management. Cascade’s experience and reach strengthens Sage’s position as a leading IT Asset Disposition provider, with extensive capabilities to serve diverse locations and industries––from healthcare, to technology, to manufacturing,” said Jackson Pei, Managing Director and Co-head of Closed Loop Partners’ buyout private equity group. “We look forward to supporting Sage’s continued expansion to bring more electronics back in circulation, keeping them within domestic supply chains and out of landfills.”

Following the acquisition, Sage will continue to grow its services and geographic footprint, positioning the company for wider reach.

To learn more about Closed Loop Partners, please visit here.

To learn more about Sage Sustainable Electronics, please visit here.

To learn more about Cascade Asset Management, please visit here.

About Closed Loop Partners

Closed Loop Partners is at the forefront of building the circular economy. The firm is comprised of three key businesses that create a platform for systems change: an investment group managing venture capital, buyout private equity and catalytic private credit investment strategies, Closed Loop Capital Management; an innovation center, the Center for the Circular Economy; and an operating group, Closed Loop Builders.

The firm’s lower mid-market buyout private equity investment strategy, the Closed Loop Leadership Group, seeks to make control investments in cash flowing businesses and enabling technologies to scale platforms that are fundamental to the circular economy. The Closed Loop Leadership Group is focused on areas including plastics & packaging, electronics, organics, the built environment, healthcare and the energy transition. With a buy-and-build strategy, the team brings active capital solutions, operating experience, circularity expertise and the strategic network of the Closed Loop Partners ecosystem to capture opportunities for growth and accelerate the circular economy. Closed Loop Partners is based in New York City and is a registered B Corp.

To learn about the Closed Loop Leadership Group, visit www.closedlooppartners.com.

About Sage Sustainable Electronics

Sage Sustainable Electronics, based in Columbus, Ohio is a leading provider of IT Asset Disposition (ITAD) services, safely and securely refurbishing used IT assets for another life. Co-founded in 2014 by CEO Bob Houghton, Sage’s platform has expanded to include four national repurposing facilities across three states, processing nearly one million assets annually. Sage extends the useful life and increases the recovery value of IT assets for its clients, which include Fortune 100 companies across various industries, including finance, healthcare and defense.

About Cascade Asset Management

Cascade Asset Management, based in Madison, Wisconsin, has provided secure and environmentally responsible IT Asset Disposition (ITAD) services since 1999. Founded by Neil and Jessica Peters-Michaud, the company has since grown to operate full-scale refurbishment and demanufacturing facilities in Madison, Indianapolis, and Orlando. Cascade leverages its fleet of vehicles and field service professionals to offer an industry-leading secure chain of custody to transport assets efficiently from client locations to its certified processing facilities. The company has processed more than 115 million pounds of electronics from businesses, institutions, and individuals across the U.S.

Disclosure

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.

Colorado, United States, January 28 2025 –– LAIIER, an innovative liquid leak detection solution provider for commercial and industrial buildings, announced today that it has raised US$4M in seed extension funding. Closed Loop Partners’ Ventures Group, the venture capital arm of the circular economy-focused firm, led the financing round, with participation from six other funds.

Existing investors Burnt Island Ventures and Mundi Ventures participated in the round, and were joined by new investors Bonaventure Capital, Carlisle Ventures, One Small Planet, and Virta Ventures.

 LAIIER focuses on solving the $19B+ annual problem of damage and downtime caused by liquid leaks in commercial buildings and industrial equipment. Traditional leak detection methods are inefficient, relying on manual inspections and resulting in slow response times of over 80 hours. This leads to significant financial losses, with properties experiencing between one and four large leak events annually. The severity of these leaks can vary widely, with costs escalating rapidly for severe cases and risks of expensive insurance claims and water loss increasing.

As real estate owner operators continue to seek more reliable leak detection that has a positive impact on both financial and environmental metrics, LAIIER’s technology offers scale, precision, and ROI that few other solutions on the market can match.

First launched in 2022, the company’s flagship water leak detection product, Severn WLD™, is currently protecting assets in a range of commercial and industrial buildings in North America and Europe, including those of Fortune 500 and FTSE 100 companies. The technology detects as little as two drops of water, offers flexible installation, precise sensitivity control, and utilizes long-range, low-power communication.

These advanced sensors, and the company’s cloud platform, LAIIER Cloud™, enable early detection of leaks and real-time monitoring, contributing to substantial water savings by alerting customers to issues before they escalate. By identifying leaks in their initial stages, LAIIER’s technology plays a crucial role in preventing extensive water damage to buildings and equipment, and helps mitigate the loss of water––an increasingly scarce and valuable commodity.

“This funding round represents a pivotal moment for LAIIER as we continue to accelerate our growth across North America and Europe,” said Matt Johnson, CEO & Co-founder of LAIIER. “Closed Loop Partners’ Ventures Group is renowned for its leadership in sustainable innovation and its deep expertise in scaling transformative technologies. Their prestigious reputation and proven track record in advancing successful businesses align perfectly with our mission to redefine leak detection in industrial and commercial markets. We are honored to have their support and partnership.”

The primary focus of the funding is to support the acceleration of LAIIER’s commercial growth globally, with a particular focus on North American expansion. The funds will also support the company’s continued investment in the development of its patented liquid leak detection technologies––both the commercially available water leak detection product, Severn WLD™; and the development of further liquid leak detection products for specific commercial and industrial applications.

“In an escalating climate crisis marked by increasing water scarcity and frequency of extreme weather events––from fires to flooding––solutions like LAIIER’s drive awareness and action around our relationship with water and industrial lubricants, and represent a crucial step toward less damage and a better experience with insurers when damages occur. LAIIER’s technology not only minimizes the risk of significant financial losses for asset owners, it can also prevent minor leaks from developing into major events, potentially conserving millions of gallons annually,” said Aly Bryan, Investor on Closed Loop Partners’ Ventures Group team. “We are proud to support LAIIER’s continued growth in North America, and look forward to working with their team to advance circularity across industrial applications and in the built world at scale.” 

About LAIIER

LAIIER solves the $19B+ annual problem of damage and downtime caused by liquid leaks in commercial buildings and industrial equipment. The company’s patented technologies deploy digital intelligence to detect and alert customers to leaking water, hydrocarbons, and more. Customers subscribe to the full-stack solution, which includes a unique sensor technology, connectivity and cloud services; providing a scale, precision, capability, and return on investment that competitors cannot match. LAIIER’s technologies are deployed with insurers, real estate owner operators, and system integrators in North America and Europe.

About the Closed Loop Ventures Group at Closed Loop Partners

Closed Loop Partners is at the forefront of building the circular economy. The firm is comprised of three key businesses that create a platform for systems change: an investment group managing venture capital, buyout private equity and catalytic private credit investment strategies, Closed Loop Capital Management; an innovation center, the Center for the Circular Economy; and an operating group, Closed Loop Builders.

The firm’s venture capital strategy, the Closed Loop Ventures Group, has been investing early-stage capital into companies developing breakthrough circular solutions for foundational materials that underpin and significantly influence a wide array of vital sectors of the economy. These materials include organics, minerals, polymers and water. Closed Loop Ventures Group partners with founders and companies who rethink how products are designed, manufactured, consumed and recovered, with the shared vision of reimagining supply chains and eliminating waste. Closed Loop Partners is based in New York City and is a registered B Corp.

To learn about the Closed Loop Ventures Group and apply for funding, visit www.closedlooppartners.com.

PRESS CONTACTS

LAIIER

Laura Lilienthal, VP of Marketing, [email protected]

Closed Loop Partners

Bea Miñana, Communications Director, [email protected]

Disclosure

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.

Executive endorsements of Closed Loop Capital Management are for illustrative purposes, designed to attract business development contacts, and should not be construed as a client or investor testimonial of Closed Loop Capital Management’s investment advisory services. All such endorsements are from current or former portfolio company leadership about Closed Loop Capital Management’s ability to provide services to their companies. Closed Loop Capital Management has not, directly or indirectly, paid any compensation to such individuals for their endorsements.

The Case Studies described on the Website are included as representative transactions to demonstrate assets to which Closed Loop Capital Management provides capital, however, are not representative of all Closed Loop Capital Management investments and are not necessarily reflective of overall results of any of Closed Loop Capital Management’s businesses. Investments in other businesses may have materially different results. Not all Closed Loop Capital Management investments had or will have similar characteristics or experiences as those included herein.

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.

In the last mile of today’s cold chain, standard single-use plastic encased gel packs are among the biggest sources of waste. With a lack of recovery pathways, the vast majority are discarded in landfill or end up contaminating recycling streams. The challenge lies in what the gel packs are made of: often single-use, non-curbside recyclable low-density polyethylene (LDPE), and a petroleum derivative for the gel.

Yet the growth of industries that are dependent on the cold chain––such as meal kit delivery services––are now facing upcoming Extended Producer Responsibility and “Truth in Labeling” regulations. With these shifts comes an increasing demand for less wasteful alternatives, and a new wave of sustainable cold chain solutions for perishables.

Enter Minus Works, a manufacturing and technology company developing circular solutions to shift the cold chain from linear to circular systems. In 2023, as the Series A startup was building products to reduce waste in the shipping of perishables, clear market demand brought the company to their next phase of growth. But to support this growth and disrupt the cold chain industry, the company required capital and a platform to scale its solution and impact.

Closed Loop Partners’ catalytic private credit group, the Closed Loop Infrastructure Group, having invested heavily in solutions across material collection, sortation, processing, end manufacturing and enabling technology, saw a key opportunity to advance circularity for this industry. Through its platform––an investment firm, innovation center and operating group––Closed Loop Partners is positioned to provide capital, expertise and access to an extensive network spanning entrepreneurs, industry experts, global companies, financial institutions and municipalities. The Closed Loop Infrastructure Group, backed by several of the world’s largest retailers, corporate foundations, industry associations, materials science and consumer goods companies, deployed growth capital––particularly, catalytic debt financing––to accelerate Minus Works’ growth.

Minus Works’ solution aligned with the Infrastructure Group’s mandate. Their alternative gel packs, the BRiQ smarter coolant, used recycled content paper and a compostable gel interior, serving as a non-toxic, circular alternative to single-use plastic wrapped gel packs. By using a recycled fiber casing for their product, Minus Works created a new end market for recycled paper, driving the demand pull-through needed to improve the quality and quantity of materials kept in circulation across North America. Additionally, with freezing co-located at the gel manufacturing site, the company also reduces the required production space by 80%, in turn resulting in lower costs and emissions associated with transportation.

Following its investment, Closed Loop Partners’ Infrastructure Group worked closely with Minus Works, exploring opportunities to refine the product and ensure its circularity at scale. Through its connection to Closed Loop Partners’ larger network, Minus Works was also able to identify alternative financing options for growth that could complement the debt financing they received from Closed Loop Partners.

With funding from Closed Loop Partners and other strategic investors, Minus Works positioned themselves for scale. One year later in October 2024, Minus Works announced their acquisition by Nordic Cold Chain Solutions, a leading provider of cold chain solutions, to further scale their technology and integrate their business within a larger platform of cold chain solutions. This acquisition represents not only a significant milestone in Minus Works’ growth and the important role of catalytic capital––but also signals the inherent value of businesses focusing on circular economy.

As more industries and supply chains demand greater resource efficiency and solutions that reduce waste and emissions, circular economy infrastructure and technologies will be pivotal. Catalytic capital will continue to play an important role in the growth of circular economy solutions. Its ability to accelerate and de-risk the development of high-impact projects and companies opens opportunities to attract additional forms of traditional financing that can bolster growth.

Closed Loop Partners’ Infrastructure Group, building on Closed Loop Partners’ 10-year track record, continues to deploy a flexible mix of financing solutions––such as secured and unsecured loans and mezzanine debt, or catalytic equity financing––supporting companies, cities and projects that need access to large pools of capital. Through a platform of support, we aim to transform industries, keep more materials in circulation and accelerate the transition to a circular economy.

To learn more about Closed Loop Partners’ Infrastructure Group and apply for funding, visit here.

Disclosure

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.

Executive endorsements of Closed Loop Capital Management are for illustrative purposes, designed to attract business development contacts, and should not be construed as a client or investor testimonial of Closed Loop Capital Management’s investment advisory services. All such endorsements are from current or former portfolio company leadership about Closed Loop Capital Management’s ability to provide services to their companies. Closed Loop Capital Management has not, directly or indirectly, paid any compensation to such individuals for their endorsements.

The Case Studies described on the Website are included as representative transactions to demonstrate assets to which Closed Loop Capital Management provides capital, however, are not representative of all Closed Loop Capital Management investments and are not necessarily reflective of overall results of any of Closed Loop Capital Management’s businesses. Investments in other businesses may have materially different results. Not all Closed Loop Capital Management investments had or will have similar characteristics or experiences as those included herein.

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.

Advancing electronics circularity has long been a core part of our investment focus at Closed Loop Partners. That has only accelerated as state and federal governments have increased focus on domestic manufacturing for electronics, right-to-repair laws and domestic sourcing of metals and minerals needed for the energy transition.

For servers specifically, we’re caught in between accelerated market growth and simultaneous accelerated obsolescence of these devices. An 8.3% compound annual growth rate is expected to result in a market size of $230B by 2034––at the same time, more existing technology continues to fall obsolete with generative AI dramatically driving up computing needs. With nearly 14 billion servers shipped in 2023, and the average life expectancy of a server down to three to four years,  processing and repurposing these assets for their next life in lower computational applications is critical.

In the discussion that follows, Rob Lawson-Shanks, Co-founder and CEO of Closed Loop Ventures Group portfolio company Molg, speaks with Aly Bryan, Investor on the Closed Loop Ventures team at Closed Loop Partners, about how Molg is supporting hyper-scalers––large-scale data centers that provide cloud computing and storage services to organizations and individuals––and their partners to improve recovery and utilization of these assets, ultimately making circularity stick in the electronics industry.

Rob: My name is Rob Lawson-Shanks and I’m the Co-founder and CEO of Molg.

Aly: And I’m Aly Bryan, an investor on the Closed Loop Ventures team at Closed Loop Partners.  I also have the distinct pleasure of serving on Molg’s Board of Directors. Rob, can you please start us off by sharing a bit about what you’re building at Molg?

Rob: At Molg, we support hyper-scalers, electronics manufacturers and their partners in advancing a circular economy for electronics––focusing today on servers and laptops, two key devices with increasing opportunity to recover materials at scale.

Aly: Why do you think circular economy is important to your partners?

Rob: Our customers are experiencing tremendous demand for computing ability––resulting in significant growth of their existing data center footprints. In many cases, our partners are growing so fast that they’re outpacing the supply of the very materials they need to bring new assets online. Molg helps our partners recover and reuse legacy assets––like CPUs, memory cards and more––that otherwise would need to be purchased new, helping to get new data centers online faster and saving hyper-scalers money in the process.

Aly: Today, Rob and I will explore how to identify strong partners and then work with them to scale, where grant dollars can help to support growth of the business, and ultimately tackle how he thinks we can make circularity stick in the electronics industry. Let’s get started!

On Identifying Strong Partners

Aly: Molg has a partnership with Sims Lifecycle Services as well as other hyper-scalers, and you have worked with Dell and other consumer electronics companies in the past few years. How did you go about identifying the right partners within each of those organizations? What makes them strong partners for you as you look to scale?

Rob: When identifying the right partners, we look for alignment in three key areas: shared mission, complementary capabilities and a commitment to innovation. For us, it’s not just about who can provide access to assets or resources but who is genuinely invested in advancing the circular economy.

Take Sims Lifecycle Services, for example. They’re at the forefront of electronics recycling and resource recovery. Their deep expertise and established infrastructure are critical for closing the loop on materials. It’s this operational strength that makes them an ideal partner for us to deploy our Microfactories with. They bring the logistical muscle, and we bring the cutting-edge technology to recover and repurpose high-value components efficiently, creating a seamless integration that amplifies impact.

On Sources of Funding

Aly: I’ve always been impressed with the way your team has balanced commercial arrangements with government funding, including your recently announced $5 million grant from the Department of Energy. How do you think about the role of grant dollars in supporting the growth of the business?

Rob: We’re in a once-in-a-generation moment where the government is investing unprecedented funding into reshaping industrial policy, bringing supply chains back to the U.S., and creating powerful opportunities for resilience and circularity in the process.

This $5 million grant directly accelerates our ability to scale our Microfactory technology, allowing us to create meaningful contributions to circularity at a much faster pace.

What’s even more exciting is that this project is being executed in partnership with several of our commercial partners, which means the impact of the Department of Energy’s investment is amplified through real-world deployments. It’s a collaborative approach that not only validates our technology but also sets the foundation for a more sustainable and resilient electronics supply chain in the U.S.

Aly: Earlier this year, you closed a $5.5 million Series Seed with participation from Amazon Climate Pledge Fund, ABB Ventures, Overture VC, Elemental Impact and of course us at Closed Loop Partners. What will this new capital help unlock for the business?

Rob: First, I want to extend a huge thank you to Closed Loop Partners’ Ventures Group for leading our Series Seed round and for your continued support. It’s been instrumental in getting us to this point. The funding from you and our incredible partners allows us to meet the rapidly growing demand from our customers who are increasingly prioritizing circularity.

The need for circular solutions is accelerating at an incredible pace, and the scale of the problem requires companies like ours to grow quickly to support this demand. For us, it was crucial to have backing from mission-aligned partners like Closed Loop Partners, who see not only the massive financial opportunity but also the transformative potential for creating circular supply chains.

On Commercial Contracts

Aly: I’d be remiss not to ask on behalf of all the other circular economy founders out there working to get their first commercial contracts over the line. What advice would you have for those founders on how to most effectively navigate those conversations?

Rob: These commercial partnerships are absolutely critical because the biggest impact on circularity comes from working with large companies that operate at a significant scale. To make meaningful change, you need to engage with Fortune 100 and 500 companies where your solutions can have the most transformative effect.

One piece of advice I would offer is to truly understand the mission and values of your potential partners. Early on, I found it invaluable to dig into their ESG reports and public statements to see what they’re prioritizing and where your solutions can align. It’s about finding that overlap between your goals and theirs, which often forms the basis of a strong partnership.

It’s also important to recognize that circularity is challenging and it’s a journey—there’s no single solution that will instantly make a company circular. It takes patience, empathy and an iterative approach. You have to be willing to work closely with your partners, especially understanding that it’s a give-and-take process as you incrementally build towards the larger, more holistic systems we all envision.

For me, it’s always been about approaching these contracts from a partnership mindset. Instead of just selling a product, focus on how you can co-create value and support each other through the inevitable challenges. That collaborative spirit is what will drive real progress and help you navigate those early conversations effectively.

On Making Circularity Stick

Aly: Last question! How can we make circularity stick in the electronics industry?

Rob: Well, first off, we could start by making things less sticky by not using glue and adhesives in electronic design! But on a more serious note, it’s really about forming strong partnerships across the entire ecosystem and pushing each other in our respective roles to make circularity the default way of doing things. We need manufacturers, users, recovery partners and second-life users all working together, challenging what’s possible, and continuously raising the bar on circularity until it’s just how we operate as an industry.

“Making Circularity Stick” is a collection of interviews with founders across the Closed Loop Ventures Group portfolio sharing their experiences of making circularity stick across industries. If you’re interested in connecting with the founders sharing their stories, please reach out to Aly Bryan at [email protected].

Disclosure

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.

Executive endorsements of Closed Loop Capital Management are for illustrative purposes, designed to attract business development contacts, and should not be construed as a client or investor testimonial of Closed Loop Capital Management’s investment advisory services. All such endorsements are from current or former portfolio company leadership about Closed Loop Capital Management’s ability to provide services to their companies. Closed Loop Capital Management has not, directly or indirectly, paid any compensation to such individuals for their endorsements.

The Case Studies described on the Website are included as representative transactions to demonstrate assets to which Closed Loop Capital Management provides capital, however, are not representative of all Closed Loop Capital Management investments and are not necessarily reflective of overall results of any of Closed Loop Capital Management’s businesses. Investments in other businesses may have materially different results. Not all Closed Loop Capital Management investments had or will have similar characteristics or experiences as those included herein.

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.