Circular Resources Sàrl has acquired Duales System Holding GmbH and the Green Dot group of companies and aims to create the first integrated mechanical and chemical recycling solution on an industrial scale for plastic packaging. H.I.G. Capital confirmed the sale of its shares in DSD.
Circular Resources Sàrl took over DSD - Duales System Holding and the Green Dot group of companies with effect from 10 August 2022. This includes, among other things The Green Dot - Duales System Deutschland GmbH and the Systec Plastics GmbH with the production facility in Hörstel and Systec Plastics Eisfeld GmbH, which produce high-quality recyclates for the plastics and packaging industry from plastic waste collected in the Yellow Bag and Yellow Bin.
„The acquisition of Der Grüne Punkt by Circular Resources is a milestone for closed-loop recycling. Circular Resources will fully support Der Grüne Punkt's current licensing, disposal and mechanical recycling business, which is developing very well, and will complement it by introducing large-scale chemical recycling of plastic waste in Germany.“
Carlos Monreal, Founder and President of Circular Resources,
It is expected that the agreement will enable further synergies between the mechanical and chemical recycling of plastic waste in Europe, to reintroduce plastics that are currently being lost from the value chain into the recycling loop.
„Together with Der Grüne Punkt, we are developing a unique approach by combining the licensing of sales packaging and access to the material stream with mechanical and chemical recycling. Through close partnerships with packaging manufacturers, we want to support them in closing the loop through their purchasing decisions.“
Laurent Auguste, CEO of Circular Resources,
„We will continue to invest in mechanical recycling, expand both quality and capacity and gain further areas of application for our recyclates. We will also work with our partners to develop solutions for mechanically non-recyclable plastic waste, including chemical recycling. This will enable us to keep more raw materials in the cycle and reduce the environmental impact of packaging waste. Added to this is the strong international focus of the business, for which Circular Resources is exactly the right partner.“
Michael Wiener, CEO of Der Grüne Punkt
Circular Resources has acquired the entire group of companies with all shares, The management of Der Grüne Punkt will remain on board and will take a significant stake in the new company.
Der Grüne Punkt's companies will continue to operate and develop in their current form. The already The planned investments to increase quality and capacity at Der Grüne Punkt's German recycling plants, independent of the takeover, will be realised as planned. For example, the company will invest in one of its sites, where it will process material flows that are currently mainly sent for incineration and utilise them for chemical recycling by means of pyrolysis.
The investment company H.I.G. Capital confirms the completion of the sale of „Der Grüne Punkt - Duales System Deutschland“ to Circular Resources. Through the merger with DSD a leading provider of solutions for the circular economy in Europe with a secure, stable and high-quality supply of raw materials for recycling, it says.
Under the ownership of H.I.G., DSD has established itself as one of the market leaders in the German recycling industry. In addition, H.I.G. and DSD Strategic investments in own plastics recycling plants in Germany made.
„With the support of H.I.G., DSD was the first dual system in Germany to successfully implement a verticalisation strategy by operating a nationwide waste licensing system and several plastics recycling plants in parallel. The fact that we are now including chemical recycling in our range of services will further strengthen our growth momentum. Together with our new owner Circular Resources, we will offer our customers a complete solution from a single source.“ Michael Wiener, CEO of DSD
The parties have agreed not to disclose further details of the transaction.
Sources: DSD - Duales System Holding / H.I.G.
