Pyrowave, a chemical engineering innovator in the emerging market for “circular plastics”–i.e., the chemical recycling of post-consumer and post-industrial plastics into new plastic–announced that it has received an investment from Quebec’s Fonds de solidarité FTQ, the $15.6 billion development capital fund that invests Canadian retirement savings in socially beneficial private equity and venture capital targets.
According to a Pyrowave announcement, the Fonds investment is in extension of a Series B venture capital round that previously closed in April 2020, led by Michelin Ventures, the corporate venture capital arm of French tire maker Michelin.
Last November, Michelin and Pyrowave rolled out a EUR 20 million joint development (around $24 million) agreement to fast-track the first industrial-scale plant to convert polystyrene waste into low carbon styrene monomer, with a view to receiving certification and global commercial rollout. Funds from Fonds will used to help Pyrowave meet demand from chemical companies to integrate low carbon styrene monomer in their products, demand has grown significantly in the months since the Michelin partnership was announced. Michelin and Pyrowave aim to unveil an industrial demonstrator, funded and operated by Michelin, by 2023.
Pyrowave’s business model is based around a patented high-powered (low carbon footprint) microwave catalytic depolymerization platform that restores plastic to its molecular state (i.e. identical to virgin materials). This enables plastic to be recycled infinitely. According to figures from Pyrowave, around 6 million tons of styrene are produced each year in North America alone, more than 90 percent of which is supplied by five major chemical industry players.
“This investment represents the intensity of the momentum around sustainability. It also shows that solid technologies with strong intellectual property have the potential to disrupt a century-old industry and provide benefits to the environment,” said Pyrowave CEO Jocelyn Doucet. “Ten years ago, it was very difficult to attract investment for innovation in the waste sector, but now organizations realize the impact of products’ end-of-life on the environment and are supporting technologies that have the ability to change the status quo.”
“Sustainable development has been part of the mission, values and practices of the Fonds de solidarité FTQ since its creation 38 years ago,” said Christian Brosseau, Vice-President for Investments, Strategic Capital, Energy and Environment at Fonds de solidarité FTQ . “This investment is a concrete illustration of our strategy which aims to support the most innovative companies, with a strong growth potential, and focusing on the environment.”
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