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Encina will use the capital to advance commercialization of its plastic-waste-to-aromatics recycling business.

March 22, 2022

1 Min Read
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Encina Development Group, a producer of circular chemicals from waste materials, has secured a total of $55 million of equity capital. The infusion included participation from institutional investors IMM Investment Global Ltd. and SW Recycle Fund through a $32 million private placement. The private placement was oversubscribed following strong institutional support, said Encina. The investment earned IMM Global a seat on Encina’s board of directors.

Encina said it will use the newly secured capital, in addition to $20 million in earlier secured equity financing, to advance commercialization 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. Current projects include planned facilities in the United States, as well as offshore projects in Asia and South America. Each facility is expected to process approximately 450,000 tons of plastic waste each year.

In making the announcement, Encina restated its commitment to capturing waste streams such as plastic scrap and applying its technology to convert them to feedstock for the production of circular chemicals.

Youngjoon Lee, CEO and Managing Partner of IMM Global, praised Encina’s world-class management team, operating technology, and 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, said Encina.

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