Biotrend and Freepoint Eco-Systems Join Forces in Strategic Partnership to Create Value from Waste Plastics

8 July 2024

Biotrend and Freepoint Eco-Systems International Ltd. (Freepoint Eco-Systems) announced a potential strategic partnership to expand their footprint in the circular economy for plastics. Through their shared vision, this collaboration will strengthen their presence in the advanced recycling industry.

Combining Expertise for a Sustainable Future

In connection with this venture, Biotrend and Freepoint Eco-Systems plan to develop advanced recycling projects that will divert end-of-life waste plastic from landfills and incineration. The projects will transform waste plastic through chemical recycling into pyrolysis oil, a product that is used as a feedstock in the production of petrochemical products including the resins used to make new plastic.

Biotrend brings its industry expertise and its ongoing development of an advanced plastic recycling facility in Aliaga, Izmir, Turkey with a processing capacity of 60,000 tons per year. Freepoint Eco-Systems contributes its focus on building, owning, and operating large-scale advanced recycling facilities that convert waste plastic into pyrolysis oil that can be used to make new plastic. Freepoint Eco-Systems and its affiliates are developing facilities in North America, Europe and Southeast Asia, including a flagship advanced recycling facility in Ohio, USA, which will have the capacity to recycle about 90,000 tons of waste plastic per year and is projected to be one of the world's largest upon completion in late 2024.

Investing in a Circular Future

As part of the potential 50/50 venture, a strategic investment company would be established by the parties to develop and own future projects. Additionally, after its satisfactory completion of due diligence, Freepoint Eco-Systems would purchase approximately 10% of the shares of Biotrend through a private placement involving an investment by Freepoint in newly issued shares. Proceeds from Biotrend's capital increase would then be used to develop and fund advanced recycling facilities including the Aliaga facility.

The strategic partnership between Biotrend and Freepoint Eco-Systems aims to develop projects in Turkey, the Balkans and Central Asia, targeting a total production capacity capable of recycling 250,000 tons of waste plastic annually. This combined recycling effort will significantly contribute to reducing plastic pollution.

Quotes from Both Leaders

"This strategic partnership strengthens Biotrend's leadership in plastic recycling and fosters a more sustainable future," said Biotrend CEO Ozgur Umut Eroglu. "We are excited to collaborate with Freepoint Eco-Systems and believe this partnership will bring significant success to both companies."

"The expansion of our advanced recycling footprint into Turkey, the Balkans and Central Asia represents an important step forward for Freepoint Eco-Systems in its ongoing effort to help solve the plastic waste problem on a global basis," said Oscar Gutierrez, President of Freepoint Eco-Systems International. "Our companies share the goal of building advanced plastic recycling infrastructure required to accelerate the development of circular economy solutions for the benefit of the environment. Biotrend has a strong track record of operating integrated solutions for municipal solid waste in Turkey, and we look forward to building this new plastic recycling infrastructure together."

 

Source: prnewswire.com