First investment of PCP Transition
PCP’s new fund for sustainability transition, PCP Transition Partner Fund, has closed its first investment by providing financing to Limerick Polymers Production (“LPP”), a subsidiary within KWD Group in Ireland. KWD Group is one of Ireland’s largest waste collection and recycling groups, founded in 1987. The funding will enable LPP to build and operate Ireland’s largest plastic waste sorting facility with a capacity of 50,000 tons of plastic waste per annum when fully operational in first half of 2022.
Sorting plastic waste into 99% purity in terms of plastic type and colour allows plastic waste to be recycled and replace virgin plastic in new packaging production. The capacity of the LPP facility equals appr. 20% of all plastic packaging sold in Ireland and is an important milestone in order for Ireland to increase plastic packaging recycling rates by 2025 to 50%.
By facilitating increased plastic recycling, the investment in LPP clearly promotes reduced use of virgin material through a circular business model, being one of the cornerstones of the investment strategy of PCP Transition.