Altor acquires Renewcell, Keeping Circular Low-Carbon Textile Capacity Online

June 4, 2024 – Today, Sweden-based investment firm Altor announced the acquisition of Renewcell, the pioneering Swedish company in textile recycling, which had declared bankruptcy in February of this year. Now operating under the name Circulose, Renewcell developed the innovative CIRCULOSE® pulp made from 100% textile waste, rather than trees, and opened the world’s first commercial-scale Next Gen mill for viscose and other man-made cellulosic fiber textiles.

Circulose is a trailblazer in the textile recycling sector. Altor’s acquisition marks a new chapter for the company and the fashion industry, creating a significant opportunity to bolster innovation and scale circular practices across the supply chain.

“We were confident that the phoenix would rise from the ashes,” said Nicole Rycroft, Canopy’s Executive Director. “The fashion value chain is now better primed to ensure these innovations have an easier path to market and scale. We are excited that Altor’s investment in Circulose (formerly Renewcell) provides all of us with a second chance.”  

A rally from many Canopy brand partners helped build the path forward for Circulose. This included over 30 letters from brands expressing an intent to purchase CIRCULOSE® products and an industry collaboration to streamline the initial supply chain. Agreeing on matters such as optimizing one blend has helped to prime the value chain, setting the flagship material up for stronger adoption. 

“Kudos to the many brands, producers, and suppliers across the value chain that stepped forward over the past three months to demonstrate the demand and commitment for low-carbon Next Generation Solutions like CIRCULOSE®.  Congratulations and thanks to Altor for investing in this crucial technology that allows the fashion industry to decouple its operations from high-carbon raw materials,” added Rycroft.

This acquisition underscores the financial community’s growing awareness of the profitability, scalability, and viability of innovative circular technologies. Circulose is set to transform the fashion industry, helping the sector address its significant carbon and forest footprint through circularity. 

For more information, please contact:

Mike Hudema, Canopy Communications Director

About Canopy

Canopy is a solutions-driven, not-for-profit environmental organization dedicated to protecting forests, species, and climate. Canopy has collaborated with more than 900 companies to develop cutting-edge environmental policies that transform unsustainable supply chains, spark innovative solutions, and protect our world’s remaining Ancient and Endangered Forests.