Encina Development Group (Encina), a producer of circular chemicals from waste materials, has announced that it has secured a total of US$55 million of equity capital which included participation from institutional investors IMM Investment Global Ltd (IMM Global) and SW Recycle Fund through a US$32 million private placement. The private placement was oversubscribed following strong institutional support. IMM Global will join the Company’s Board of Directors as a result of their investment.
Encina will use the newly secured capital, in addition to US$20 million in earlier secured equity financing, to move forward with the commercialisation of its plastic waste-to-aromatics recycling business. Encina’s circular chemical products are marketed to global customers who adhere to ISCC+ certification standards, and who are seeking to manufacture end products requiring circular content in their products. Current projects include planned facilities in the US, as well as offshore projects in Asia and South America. Each of the facilities is expected to process approximately 450 000 tpy of plastic waste material.
“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, landfilled, 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,” said Mr. David Schwedel, Founder and Executive Director for the Company.
Youngjoon Lee, CEO and Managing Partner of IMM Global, commented, “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.”
Morgan Stanley and Stephens acted as private placement agents with respect to the private placement transaction.
Read the article online at: https://www.hydrocarbonengineering.com/petrochemicals/14032022/encina-secures-funding-from-imm-investment-global-ltd/