In a statement, the UK-based recycling manufacturer said that it aims to use the £40 million to mass produce its machine, the RT7000, which it says can process hard-to-recycle plastic waste into a synthetic oil.
Once the oil is produced, according to the company, it can be sold back to the petrochemicals industry as a chemical feedstock to make new plastics.
The mass manufacturer of these machines will provide a “scalable solution” for the recycling of plastic.
Recycling Technologies expects ‘admission’ of its shares in the market to occur in December 2021.
The company is one part of Project Beacon, part-funded by the Scottish Government, which will see three companies including Recycling Technologies work together to “chemically recycle” plastics to make new material or other chemical products at a plant in Scotland.
The three companies involved in the process are PI Polymer Recycling, Recycling Technologies and Impact Recycling.
‘Important step’
“This fundraising is an important step in writing the next chapter.”
– Adrian Griffiths, CEO of Recycling Technologies
Adrian Griffiths, CEO of Recycling Technologies, commented: “In our quest for a sustainable, low carbon existence, we will need plastic. It is typically a lower carbon alternative than other materials in many applications and so we need to quickly build capacity to recycle it, in a way which emits the least carbon.
“Recycling Technologies’ technology, built into the RT7000 machine, will be mass produced to provide such recycling capacity. Our innovative team and engineering expertise will provide a step change in the story of plastic; this fundraising is an important step in writing the next chapter.”
Accounts
In its latest financial statements, published in May, the company reported that it needed to secure an extra £40 million in order to deliver its “base business plan”, which includes “two further RT7000 projects”.
The statement said that a proportion of the funding will need to be secured in the first half of 2022 “at the latest” to ensure “sufficient cash is available to provide the minimum required working capital to sustain the business beyond this point”.
At the time the financial statement was released, the company did not have plans to float on the stock market.
Project Beacon
Recycling Technologies has also reported several concerns around the impact of Covid-19, with multiple delays occurring in the construction of its Project Beacon facility.
Originally due to be operational in 2018, Project Beacon will see three companies including Recycling Technologies work together to “chemically recycle” plastics to make new material or other chemical products.
The project has been delayed a number of times since then, with the latest occurring in October, where the company said it had been pushed back a further year due to covid-19 pressures (see letsrecycle.com story).
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