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July 17, 2018 07:00 AM

Borealis to add Ecoplast to its recycling business

Borealis to add Ecoplast to its recycling business

Karen Laird
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    Borealis
    The Ecoplast plant in Wildon, Austria.

    Polyolefins producer Borealis today announced that it has signed an agreement to acquire 100% of the shares in Austria-based plastics recycler Ecoplast Kunststoffrecycling GmbH. This transaction is subject to regulatory approvals.

    The deal is the latest since Borealis entered the recycling business two years ago when it bought the German plastics recycling companies, mtm plastics GmbH and its sister company, mtm compact GmbH. Just weeks ago, Borealis announced investments to the tune of €15m in mtm plastics and €2.5m in mtm compact, designed to ramp up the processing capacity, of the two facilities. 

    Based in Wildon, Austria, Ecoplast processes around 35 000 tonnes of post-consumer plastic waste from households and industrial consumers every year, turning them into high-quality LDPE and HDPE recyclates, primarily but not exclusively for the plastic film market. Whereas mtm's focus is on rigid, injection moulding solutions, Ecoplast's core competence is recycling flexibles from highly contaminated PC waste into a product that is suitable for thin film production.

    Borealis CEO Alfred Stern called the takeover of Ecoplast ‘a logical next step for us to expand our mechanical recycling capabilities' and described the company as an ‘important complement to mtm'. 

    Borealis any has identified the circular economy of polyolefins as a material issue and made it one of the three focus areas in its sustainability strategy. The company's strategic intent is to become a leader in mechanical recycling technology and by doing so, to increase the recycling rate and actively drive the circularity of polyolefins. 

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