Pulpex, a sustainable packaging technology company, has raised £62m ($78m) in a Series D funding round, which was led by the National Wealth Fund (NWF) and the Scottish National Investment Bank.
The funds have been raised for a new packaging facility in Glasgow, Scotland.
The NWF committed £43.5m in direct equity while the Scottish National Investment Bank is set to co-invest £10m, with the remaining £8.5m coming from existing investors.
This funding round represents the NWF's first investment in Scotland since its transformation.
NWF CEO John Flint said: “We need to recycle more and unlock the growth potential of the circular economy. That requires sophisticated, long-term investment, both in infrastructure and packaging innovation.
“Exciting technological advancements like Pulpex are a great example of that potential. But they need catalytic investment to scale and commercialise.
“Through financing Pulpex’s new facility in Glasgow, we will help remove barriers to future investment from private capital and lay the foundations for further growth.”
Pulpex has developed a fibre-based bottle made from sustainably sourced wood pulp, free of plastic, and designed to be recycled alongside paper or card in regular household recycling streams.
The company claims that its patented technology offers a recyclable and biodegradable packaging alternative with a lower carbon footprint compared to traditional glass or plastic packaging.
The support from the NWF and the Scottish National Investment Bank is crucial for the commercialisation of Pulpex’s technology and its subsequent adoption by packaging manufacturers and their clients.
With this new capital infusion, Pulpex aims to transition from its current research and development (R&D) and pilot production stage at its headquarters in Cambridge, England, to a full-scale production facility.
According to Pulpex, the planned facility, capable of producing 50 million bottles annually, is expected to create 35 new jobs in Scotland.
Pulpex has already formed partnerships with major fast-moving consumer goods brands such as Diageo, Unilever, and Kraft Heinz.
