E-SYNERGY ANNOUNCES £1.5 MILLION SUSTAINABLE TECHNOLOGY FUND
INVESTMENT IN PLASTIC RECYCLER ALTERNATIVE WASTE SOLUTIONS
7 January 2008
- AWS aims to be UK leader in food-grade recycled plastics
- Andrew Stevenson of E-Synergy to join board of AWS
The Sustainable Technology Fund managed by E-Synergy has announced a £1.5 million
investment in plastic recycling specialist Alternative Waste Solutions (AWS).
E-Synergy led the £2m investment round, the £1.5 million from their Sustainable
Technology Fund being alongside £400k from early stage investment specialist
NorthStar Equity Investors and £100k from a private investor. Andrew Stevenson
of E-Synergy has joined the board of AWS as investor director
Newcastle-based AWS is a profitable company that was established in 2000 and
now operates the largest and most technically advanced plastic bottle reprocessing
plant in the UK, currently producing PET and HDPE flake with a customer base in
Europe and the Far East.
The £2 million equity investment will underwrite a £14 million expansion of AWS’s
plastic bottle processing plant, creating the world’s largest facility with food
grade capability able to process up to 100,000 tonnes of mixed plastic bottles annually.
The funding is the seventh investment by the STF which is a £30 million UK limited
partnership fund backed by a mix of institutional and private investors and which
focuses on UK companies developing clean and efficient industrial processes.
"AWS has a huge opportunity to capitalise on its unique market knowledge, operational
experience and contacts and to lead the UK market in food grade recycled plastics –
a fast-growing industry," said Andrew Stevenson.
"Currently much of the UK’s recycled plastic output is transported to China, some of
which is remade as consumer goods and shipped back overseas again. There is growing
demand in the UK for food-grade recycled plastic which has been recovered from the UK
waste stream. The UK has lagged behind Europe so far in operating the advanced
technology to convert waste plastic bottles to high quality pellets – which can be as
good as or in some cases better than the virgin material. Government agencies such as
WRAP are actively encouraging improvements both in recovering plastics from the waste
stream – avoiding landfill – and in recycling facilities.
"AWS has a substantial opportunity to grow very quickly driven by strong customer
pressure on drinks companies to use more recycled content in their bottles, and by
government authorities to recycle more materials, reducing pressure on landfill sites.
Currently only a small percentage of plastics consumed in drinks bottles is recycled
back into bottles."
Marion Bernard, CEO of NorthStar Equity Investors added " AWS is a great example of
the ambitious, high quality businesses being created here in the North East of
England and backed by our North East Co Investment Fund – a £23m fund set up to work
alongside other investors to back high growth companies in the North East. This is
our 23rd investment, and we look forward to working closely with E-Synergy to help
AWS meet its full potential."
AWS managing director Jonathan Short said: "What has been particularly pleasing is
the speed at which E-Synergy grasped the potential and timing of the opportunity
and the relatively short space of time from agreeing terms to signing the final
documentation – two months in total including the comprehensive market, technical
and financial due diligence.
"This announcement shows AWS is set to be a serious contender in the ‘food grade’
market and we look forward to finalising some significant offtake contracts within
the coming weeks."
More information about E-Synergy and the Sustainable Technology Fund is available
here. Information about NorthStar Equity Investors can be found at
www.northstarei.com
and for AWS go to
www.cutwastecosts.com
ENDS
Notes for Editors
E-Synergy’s £30m Sustainable Technology Fund specialises in venture investing in early stage companies where the use of advanced technology is a key part of the business plan. E-Synergy founder directors founding directors all have many years’ experience and success as CEO’s of commercial technology companies based in UK with international markets. An important aspect of its investment approach is to offer management support in areas such as technology, product development and commercial exploitation in international markets.
Other E-Synergy areas of business include management of the East Midlands Early Growth Fund on behalf of the East Midlands Development Agency, and acting as co-ordinator for the Emerald II fund that supports commercial projects based on research from London’s universities.
E-Synergy is authorised and regulated by the Financial Services Authority.
Based in Newcastle, NorthStar Equity Investors (NSEI) is a venture capital firm specialising in early stage high growth opportunities in the North East of England. It is regulated by the FSA and manages two funds; the £10m Proof of Concept Fund funded by regional development agency, ONE NorthEast and the European Regional Development Fund (ERDF) and the £23m Co Investment Fund funded solely by the ERDF. The £23m Co Investment Fund has completed 23 deals to date alongside business angels and other VCs, and invests across a range of high growth and technology areas including IT, materials, cleantech, healthcare and communications.
PET – Polythyleneterephthalate – plastic type used in soft drinks bottles
HDPE- High Density Polyethylene – plastic type use in milk bottles in the UK
Contacts
Andrew Stevenson, E-Synergy, 020 7583 3503
Marion Bernard, NorthStar Equity Investors, 0191 211 2315
Jonathan Short, AWS, 0191 296 8045 / 07957 132544
Chris Clarke/Elizabeth Holt, Holt PR, 020 8334 8354
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