The world currently produces more than 460 million tonnes of plastic each year, yet less than 10% of plastics and barely 1% of synthetic textiles are recycled.
With support from BNP Paribas to raise funds, French biotech company Carbios has rolled out pioneering biorecycling technology with the aim of reducing plastic and textile pollution. The company uses enzymes to break down PET waste – polyethylene terephthalate, one of the most commonly used plastics – into its basic components that can be used to create recycled PET for new products.
The company was able to raise equity in a capital increase run by BNP Paribas in 2021 to move from research and development of its ground-breaking technology into the industrial phase, ten years after it was founded. A second capital increase in 2023 financed the construction of its first commercial plant: the first PET biorecycling facility in the world. This plant will be able to process 50,000 tonnes of PET waste per year, which is equivalent to about two billion bottles or 300 million T-shirts.
First deliveries to customers are expected in 2026, and the company is also working on expanding its technology to other types of plastic such as polyamides, pursuing its aim to be a worldwide leader in plastic and textile recycling.
“This plant is a key milestone as by 2026 it will provide the company with significant revenues for the first time in its history. In parallel, we are also deploying our technology on a global scale through licensing,” says Pascal Bricout, CFO of Carbios. “If I’m asked how the BNP Paribas team is performing with Carbios, the first and only answer is that we came back,” he added, referring to the decision to choose BNP Paribas again for its second capital increase. With financial market expertise and a deep knowledge of the business, the Bank has developed a trusted relationship with Carbios since 2013.
The 2023 capital increase also marked a new record on Euronext Growth Paris as the biggest to date on that market.
“The second capital increase was such a success that although we started asking investors for €120 million, we raised over €140 million. That’s testament to the success of the transaction,” says Alexis Le Touzé, Head of Equity Capital Markets for BNP Paribas in France, highlighting the “real connectivity between the teams of Carbios and BNP Paribas, and all the stakeholders.”