UK households produce a staggering 26m tonnes of waste a year, of which 45% is recycled
IW Capital, a leading private equity house, has today announced a £2.65m second round investment in Impact Recycling, having initially backed the green-tech innovator with £2m in 2019. The most recent injection of capital is aimed at accelerating growth and finishing a new operational site in Bellshill, Glasgow. IW has now invested over £120m in UK SMEs, helping to drive business growth across the country whilst amassing a highly impressive and sector-agnostic portfolio. In 2020 alone, revenue from the recycling and waste management industry totalled £21.2bn – clearly illustrating the high-value potential in this sector.
Impact Recycling is an innovative UK-based company that has developed a breakthrough recycling technology, enabling previously difficult or impossible types of plastics to be recycled. The firm’s unique innovation bears a profound impact on reducing how much the nation wastes – this was over 222.2 million tonnes in 2018 – resulting in an unquestionably positive effect on the environment. Specifically, the technology separates the components of post-consumer, mixed plastic waste to recover two consistent streams of plastic; polyethylene (PE) and polypropylene (PP), each with over 98% purity.
Underpinned by a ground-breaking proprietary technology, a unique system of water-based, density separation – a process known as BOSS (Baffled Oscillation Separation System) – improves the economics of plastic recycling for users and diverts significant quantities of PE and PP away from landfill and incineration. Waste is instead transformed through this process into a reusable form which is sold on to manufacturers who can repurpose it for goods or packaging.
IW Capital’s initial 2019 investment into Impact Recycling was targeted at developing the BOSS technology and developing two sites in Newcastle, which are now successfully in operation. In addition to the total investment of £4.65m from IW Capital, Impact Recycling has also received significant grant funding, targeted at the development and completion of the new Glasgow site. Once completed, their new Bellshill hub is also expected to bring a number of new jobs to the area, whilst helping to drive the company’s highly impressive pace of growth.
David Walsh, CEO of Impact Recycling, said: “In the time we have been working with IW Capital since 2019 we have come to know them as a trusted, reliable investor that have enabled us to expand our business and continue with our innovations in the plastic recycling sector. We look forward with confidence to a lasting relationship.”
Luke Davis, CEO & Founder of IW Capital, added: “Having been onboard with Impact Recycling since 2019, it has been fantastic to watch their growth over the past three years – now boasting three sites across the UK. Given their recent success, we’re delighted to announce that we’ve invested a further £2m, which will contribute to the development of the new landmark site in Bellshill.
“With green technology and protecting the environment becoming some of the most important focuses for economies all over the world, we see real potential to help Impact Recycling grow and deliver much-needed services in the UK and potentially even further afield. We share their vision in terms of revolutionising the way we recycle and are very happy to be able to help on this exciting and rewarding journey.”