The future is green for Finnish plastic alternatives

Paptic, a specialist in wood-fibre based packaging materials, successfully closed a 4.5-million-euro funding round at the end of 2023. The UB Forest Industry Green Growth Fund led the round, and it was joined by Emerald Technology Ventures, SIG InnoVentures and EIF Fund. 

Fredric Petit, partner at Emerald, described the investment as a mark of confidence in Paptic’s ability to play a crucial role in reducing waste in packaging: “Paptic is working at the cutting-edge of packaging, taking a novel approach to solving the huge and growing problems inherent in the current industry.”

The funding added to the 23 million euros the company raised earlier last year to develop its manufacturing partnerships, product portfolio and global product availability. In total, the Espoo-based startup amassed 27.5 million euros in growth financing in 2023.

Pactic’s fibre-based recyclable materials have been produced on an industrial scale since 2018, reaching over 50 countries. According to CEO and co-founder Tuomas Mustonen, the company’s ambitious goal is to reach 100 million euros in revenue in 2026.

“The new capital raised during the past year puts us in a strong position to invest in our people, sales channels and product development. Our growth is based on our ability to competitively serve international brand owners who are seeking sustainable alternatives to replace plastics in their packaging,” Mustonen stated.

In parallel news, Sulapac announced a new partnership with Texen Group, a significant luxury and beauty packaging sector player. The French company plans to leverage the Finnish startup’s bio-based and biodegradable materials to fulfil its sustainability targets. 

Denis Paccaud, Texen Group’s innovation director, commended Sulapac as a solution aligning high aesthetic and quality standards with ecological responsibility: “With Sulapac we can provide our customers market-leading products that bring additional value through pioneering eco-features.”

As part of the partnership, Texen Group will offer its customers a broad range of Sulapac materials as an alternative to conventional plastic. The typical applications include injection-moulded caps and closures. 

Founded in 2016 by three scientists, Sulapac has a track record of successfully collaborating with big-name beauty brands such as Chanel and Shiseido, with Chanel also investing in the company. Sulapac's materials extend beyond packaging to straws and cutlery.