Impact Recycling receives investment from LG Chem

London-based investment firm IW Capital has announced that one of its portfolio companies, Newcastle, England-based Impact Recycling, has received an investment from South Korea-based global chemical company LG Chem Ltd.

According to IW Capital, LG Chem opted to invest in Impact Recycling to support the business in rolling out its baffled oscillation separation system (BOSS), which is a water-based density separation process. It separates the components of postconsumer mixed plastic scrap to recover two consistent streams of polyethylene (PE) and polypropylene (PP), each with over 95 percent purity.

“With the support of IW Capital, receiving the investment from LG Chem will ultimately help us to build a larger and more sustainable way of recycling plastic across the U.K. and the world,” Impact CEO David Walsh says. “LG Chem has a reach and wealth of experience in the polymer markets to make a perfect partner for our expansion plans.”

LG Chem also is expected to follow its investment with a license agreement for the BOSS technology for plastic recycling. Currently, with three sites across Newcastle and Glasgow, Scotland, Impact says it is looking to open another in Durham, England, this year.

Since 2019, Impact has received 4.6 million euros ($5 million) in Enterprise Investment Scheme (EIS)-qualifying investments through IW Capital, as well as grant funding through Innovate U.K. and the EU’s LIFE Programme.

“We at IW Capital are very proud of Impact Recycling and their continued revenue growth,” IW Capital Investment Director Christopher Soames says. “As our portfolio companies mature, we are made more and more aware of just how effective and important it is to believe in up-and-coming establishments and take them to the next level of growth; we can see this with Impact Recycling.”