News and Blog

20 April, 2016

EcoMachines Ventures Completes First Exit From Maiden Fund

EcoMachines Ventures, the specialist investor in energy and industrial high-tech companies, announces that agreement has been reached with a private investor to acquire the entire share capital held by EcoMachines Ventures in Recycling Technologies, its plastic recycling portfolio company, for an undisclosed amount.

 

EcoMachines Ventures made its original investment into Recycling Technologies in May 2014, providing seed capital for its technology, which converts mixed residual plastic waste into a chemical feedstock, and have subsequently provided follow-on funding and further support to help bring this exciting technology to market. In addition, EcoMachines Ventures has provided advice on accessing target markets and scaling its Circular Economy model for the UK and beyond.

 

Based in Swindon, Recycling Technologies builds and operates machines (RT7000s) that converts mixed plastic waste (MPW) destined for landfill or incineration, into PlaxxTM , valuable recycled hydro-carbon. Unlike other waste streams such as glass, paper and separated plastics such as PET and HDPE, most MPW is currently not recycled.

 

PlaxxTM can be used for several purposes including HFO for energy generation, low sulphur HFO for marine propulsion, as a “slack wax” or, ultimately, as feedstock for polymer production. Each RT7000 machine is capable of processing up to 7,000 tonnes of mixed plastic waste per year.

 

By converting the waste into PlaxxTM, Recycling Technologies’ machines turn plastic waste from an environmental problem into a valuable resource.

 

Dr. Ilian Iliev, CEO of EcoMachines Ventures, commented:

“We invested in Recycling Technologies because they provide an innovative and practical solution to the world’s pressing plastic waste problem. Plastic is one of humanity’s most useful inventions, yet plastic waste is one of today’s major environmental pollution problems. We are proud of the developments made at Recycling Technologies and leave the business in excellent shape for the future commercial roll-out of their technology.”

 

He continued: “This investment is a prime example of our investment strategy not only in terms of sector but also in nurturing and developing a team and its technology for the next stage of their growth. The realisation of this, our first exit, is also a great result for our investors.”

 

John Clarkson, Chairman of Recycling Technologies Ltd said:
"Recycling Technologies Ltd has commercialized a process that recycles plastic waste into valuable low-sulphur hydrocarbon known as Plaxx™. Over the past 3 years, Recycling Technologies Ltd has developed the process successfully and the first commercial rig is currently undergoing testing. There has been a high level of interest and demand from all sectors of the market. In addition to the anticipated business success, the process delivers huge environmental benefits.”

 

“The investment by EcoMachines Ventures has been very helpful for Recycling Technologies and in addition to the funding support, we have benefitted from their advice, contacts and marketing expertise. For the next stage of the business roll-out, Recycling Technologies is currently sourcing a £10m funding round with PwC, corporate finance advisors.”

 

The realisation of the EcoMachines Ventures investment in Recycling Technologies is the first exit from its maiden fund and follows on the back of a busy six months with the latest investment PointGrab made in December 2015, and supporting follow-on investment for current portfolio company, Q-Bot in March 2016.

 

The transaction was led on behalf of EcoMachines Ventures by Ilian Iliev with support from Max Middleton. Taylor Vinters provided legal advice to EcoMachines Ventures and Baker Botts acted as legal advisor to Recycling Technologies.