End-of-life tyre (ELT) recycling technology firm Prism Worldwide announced that it has raised US$40 million in Series A and Series A1 funds. The company says it will use the funds to accelerate the commercialisation of its sustainable thermoplastic elastomers (TPEs), derived from recycled ELTs.
Prism is using the funds to consolidate operations, make capital investments in technology and equipment, and expand its team. To date, the funding has provided a foundation from which Prism has reached commercial viability, demonstrated by an initial round of sales and sales commitments for its TPEs, it adds.
The development of these TPEs marks the first time any company has successfully created a sustainable, high-performance polymer derived from end-of-life tyres.
The funding rounds were co-led by return investors Columbia Pacific Advisors, a Seattle alternative investment firm, and Jim Sinegal, co-founder and former CEO of Costco. The combination Series A and Series A1 funding round also includes participation from Robert “Spike” Anderson, former CEO of Anderson Daymon Worldwide. Anderson is Chairman of Prism Worldwide’s board of directors.
“Prism has achieved what no other company has by successfully developing a novel method to turn end-of-life tyres into a useful polymer that can be compounded into a wide range of rubber and plastic products,” said John Bratrud, Portfolio Manager, Columbia Pacific Advisors. “Solving the challenge of recycling tyres and transforming them into sustainable, high-quality, and reliable material opens a wide range of revenue pathways in every market that uses elastomers and plastics.”
The first deployment of Series A capital was for the acquisition of CRC Polymer Systems, a custom compounding company that supplies compounds, resins, and colours to the plastics industry. The acquisition enabled Prism to increase its capacity for product development, manufacturing, and distribution throughout the US and North America.
Notably, Prism makes it possible to integrate a higher concentration of recycled materials to be used in both rubber-based and plastic-based products without conceding product quality. Its technology can help companies scale revenues and profitability while helping them achieve sustainability goals by reducing carbon emissions and reliance on virgin petrochemical-based materials.
“Our patented technology has already captured the attention of a significant number of customers in the specialty polymer industry,” said Bob Abramowitz, CEO, of Prism Worldwide. “This novel technology eliminates the common fate of end-of-life tyres and waste plastics that often litter landfills or illegal dumps by creating functional polymers from these valuable recycled materials. We’re already fielding inquiries from a host of companies seeking ways to make their consumer and industrial products more sustainable. Even more compelling is that once the products manufactured from our polymer intermediates reach their end-of-life usefulness, they can be recycled again, creating a truly circular, long life.”