Renewcell, now Circulose, has found a new path forward through Altor’s acquisition.
- Following bankruptcy, Renewcell’s assets were purchased by Swedish firm Altor.
- The acquisition includes Renewcell’s intellectual property and Sundsvall production site.
- Circulose, the new name under Altor, focuses on sustainable textile recycling.
- Industry leaders Mango and Zalando support Circulose’s mission and potential impact.
Renewcell, a leading player in sustainable textile innovation, faced financial hurdles earlier this year, resulting in a bankruptcy filing at the Stockholm District Court. Despite challenges, Renewcell’s potential was recognised by Altor, a prominent Swedish investment firm, which has invested by acquiring the remaining assets, including crucial intellectual property and an operational site in Sundsvall, Sweden.
In a strategic move last month, Renewcell’s Kristinehamn production facility was sold to Biosorbe, indicating a shift in operational tactics aimed at sustaining core innovations. Now under Altor’s wing, Renewcell has rebranded as Circulose, aligning its corporate identity with its flagship product—a textile pulp derived from garment and textile waste.
The fresh investment from Altor is targeted at enabling Circulose to expand its influence and capabilities globally, though financial specifics remain undisclosed. Magnus Lundmark, CEO of Circulose, voiced optimism about this partnership, emphasising Altor’s role in leveraging its expertise and resources to secure a solid future for the company and the broader textile industry.
Clara Zverina, Altor principal, expressed the company’s enthusiasm in tackling the challenges of scaling Circulose’s unique technology, stressing the urgency for widespread adoption of circular solutions in the fashion industry, particularly those that offer alternatives to virgin cotton and man-made fibres.
The acquisition has garnered positive reactions from industry heavyweights. Andres Fernandez from Mango highlighted the importance of integrating circular designs in future collections, while Zalando’s Pascal Brun affirmed their commitment to sustainability through using Circulose’s innovative materials. Both companies foresee Circulose making significant contributions to sustainable fashion.
The strategic acquisition of Renewcell by Altor highlights a crucial step towards advancing sustainable practices in the textiles sector.
