Novoloop Transforms Waste into Tons of Upcycled Plastic
▼ Summary
– Only about 9% of plastic is recycled, with single-use items like grocery bags being a major contributor due to design and recycling challenges.
– Novoloop has developed a method to upcycle difficult plastics into valuable materials like thermoplastic polyurethane (TPU), used in products from sneakers to car seats.
– The startup raised a $21 million Series B to build its first commercial-scale plant, partnering with existing chemical plants for cost efficiency and growth opportunities.
– Novoloop’s Lifecycled TPU is created by breaking down polyethylene into monomers and synthesizing higher-value polymers, making it competitively priced with virgin materials.
– The company chose India for its demo plant due to significantly lower costs and Aether Industries’ expertise in small-scale chemical manufacturing.
Plastic waste remains one of the most pressing environmental challenges today, with less than 10% of discarded materials successfully recycled. Single-use plastics like grocery bags pose particular difficulties, not only are they designed for disposal, but traditional recycling methods struggle to process them effectively. The result? Mountains of waste with limited reuse potential.
One company claims to have cracked the code on transforming this problematic plastic into high-value materials. Novoloop, a California-based startup, has developed an innovative upcycling process that converts discarded plastics into premium thermoplastic polyurethane (TPU). Their demonstration plant recently completed a successful test run, producing up to 70 metric tons annually of material suitable for products ranging from athletic footwear to automotive components. Demand has surged so rapidly that the company is already planning a larger-scale facility.
“We’re sold out, literally every batch we produce gets snapped up,” says Miranda Wang, Novoloop’s co-founder and CEO. The company’s momentum recently attracted a $21 million Series B funding round, led by Taranis, an investment fund backed by oil-and-gas giant Perenco, with additional support from Valo Ventures and Shop Limited. This capital will help finalize designs for their first commercial plant and kickstart construction.
Rather than building from scratch, Novoloop is exploring partnerships with existing chemical plants that have spare land and infrastructure. This collaborative model allows industrial partners to expand into sustainable materials without navigating unfamiliar markets. “It’s a win-win,” Wang explains. “They gain access to new revenue streams while we handle the technology and sales.”
The startup’s breakthrough lies in its proprietary Lifecycled TPU, created by deconstructing polyethylene waste into monomers before reassembling them into higher-grade polymers. Though pricier than virgin plastic, the cost remains competitive, a key factor in attracting major brands like On, which incorporated the material into its Cloudprime sneaker soles.
Beyond upcycling, Novoloop has also ventured into mechanical recycling, repurposing factory-floor TPU scraps and boosting their performance to rival new materials. When setting up their demo plant, the team opted for India over the U.S., partnering with Aether Industries to slash costs by 90%. “They don’t just have pilot facilities, they have an entire plant dedicated to small-scale production,” Wang notes, highlighting the efficiency of reusing decommissioned equipment.
With demand outstripping supply and scalable solutions in motion, Novoloop’s approach could redefine how industries handle plastic waste, turning yesterday’s trash into tomorrow’s high-performance products.
(Source: TechCrunch)
