Circular chemicals startup Encina Development Group announced today it has raised $55 million of equity capital to fund the construction of its first plastic waste-to-aromatics recycling plant in Pennsylvania.
Encina converts waste plastic into renewable chemicals, which can be repeatedly used to make new products. The company produces circular chemicals that provide the basis from which many products are produced, for applications including consumer products and packaging, pharmaceuticals, and construction, among others.
Mr. David Schwedel, Founder and Executive Director of Encina, said:
“We would like to thank all of our shareholders for their strong support, and faith in our management team. We are committed to deploying our technology to capture waste streams such as plastic scrap, which would have been harmful to the environment through possible incineration, land filled, or ocean waste – which can now be reclaimed and used as feedstock to produce circular chemicals to help foster better environmental outcomes for everyone on a global basis.”
Encina stated that the funding, in addition to $20 million in earlier secured financing will be used for the commercialization of its waste-to-aromatics recycling business. Its current projects include planned facilities in the US and offshore projects in Asia and South America, each of which is expected to process about 450,000 tons of plastic waste material each year.
The funding included participation from investors IMM Global and SW Recycle Fund through a $32 million private placement. IMM Global will join Encina’s Board of Directors.
Youngjoon Lee, CEO and Managing Partner of IMM Global, said:
“We are excited to partner with Encina to further drive the company’s growth plan, and we are aligned with their goals to help foster a circular economy on a global basis. Encina has a world class management team, operating technology, and a scalable platform that is well positioned to expand at multiple locations in the coming years.”