The funding, claimed as the world’s first investment fund dedicated to the cause in the region, was disbursed by Singapore-based Circulate Capital on April 28 and was shared with Indian recycling company Lucro.
Dian said demand from manufacturers for high-quality plastic flakes had risen as companies look to improve the sustainability of their supply chain and move toward recycled packaging. She went on to say that regulations in foreign markets, such as the European Union requiring manufacturers to include a minimum of 30 per cent of recycled plastic in their PET bottles by 2030, created more opportunities for the recycling industry.
Despite the rising potential in the industry, Dian noted that securing funding had been one of the biggest challenges since the company started in 2016, as most investment for start-ups went to technology companies rather than the environment or social impact sector. “Our objective is to show that investing in the recycling sector can generate attractive financial returns as well as bringing environmental and social benefits.”