California Apparel News

Cotton-recycling pioneer Renewcell has announced that its remaining assets have been acquired by Altor, an investment firm based in Sweden, and will now be known as Circulose.

The technology of recycling cotton to make a dissolving pulp for MMCF producers such as viscose has been a cornerstone of the company’s operations. Circulose pulp, the innovative solution for textile-to-textile circularity, will remain at the forefront to help create a sustainable future for the fashion and textile industries. This commitment to innovation and sustainability is further strengthened by Altor’s investment, which provides the resources and network needed to extend Circulose’s impact and reach.

“We extend our deepest gratitude to our customers, partners and stakeholders for their unwavering support and collaboration during this journey,” said Magnus Lundmark, chief executive officer at Circulose. “Together we will continue to drive positive change, leveraging Altor’s expertise and resources to enhance our capabilities and secure a confident future for Circulose and the broader textile community.”

Renewcell was orginally founded in 2012 by innovators from Stockholm’s KTH Royal Institute of Technology. In February 2023, the company filed for bankruptcy and has since looked for a new owner to safeguard the patented process of producing Circulose pulp from 100 percent textile waste. Circulose is globally the only material that has been produced at scale from 100 percent textile waste based on a closed-loop, chemical-recycling process.

The material is produced in a strategically located factory in Ortviken, Sweden, a region with historically significant know-how from the pulp and paper industry. Circulose pulp is used to spin fibers that are turned into fabrics and used for new high-quality textile products.

“We don’t shy away from a challenge, and this one is worth taking,” said Clara Zverina, principal at Altor, “both for the uniqueness of the patented technology and the urgency of scaling circular solutions for the entire textile and fashion industry, particularly to replace virgin cotton and MMCF. We are determined to partner with key stakeholders across the value chain to together unlock the potential of Circulose.”