Syre, the new company initiated by Vargas and H&M Group which launched in March this year, has secured a $100 million Series A funding package.

Supported by a ground-breaking offtake supply agreement with H&M, Syre plans to establish multiple plants producing circular polyester across the globe via chemical recycling, reducing CO2 emissions by up to 85% compared to the production of oil-based virgin polyester.

The funding round was led by founding investor TPG Rise Climate along with an additional investment from H&M and strategic partners Giant Ventures, IMAS Foundation, Norrsken VC and Volvo.

It will finance the construction of a blueprint plant in the USA which will be up and running later this year, as well as preparations for the first two gigascale textile-to-textile recycling plants. Syre has shortlisted Vietnam and Portugal or Spain as the locations for its first two plants. Both regions are strategically positioned within the textile supply chain, with access to know-how, feedstock and logistics, as well as green energy. The specific site selection process is continuing with the goal of starting construction  in 2025.

The equity funding will further allow Syre to fully acquire the patented technology of North Carolina-based Premirr that is the centerpiece of the company’s textile-to-textile recycling solution. The technology has been developed over the past nine years and is said to transform post-consumer waste into circular polyester in a very energy-efficient way that can be rapidly scaled globally.

“We completed a rigorous search and evaluation of more than 20 polyester recycling technologies worldwide which is how we found Premirr,” explains Syre CEO Dennis Nobelius. “Although the partnership agreement was entered into last year, it is only now that Premirr is fully integrated into Syre, and I’m really proud to have the founders onboard as we continue scaling the team and company.

“I am also thrilled that some of the most ambitious investors globally have joined our quest to lead the great textile shift. It’s inspiring to see their commitment to drive the green transition of the textile industry across our key target industry verticals of apparel, automotive and interiors.”

“We look forward to accelerating the decarbonization of the textile industry through Syre’s unique textile-to-textile recycling process,” adds Joerg Metzner, business unit partner at TPG Rise Climate. “Pairing our capital and global business building capabilities with Syre’s world class team and proprietary technology creates a strong foundation for scaling the company across major manufacturing plants around the world in the coming years.”

Syre’s R&D hub will remain in North Carolina and further grow from there, close to the Research Triangle Park where the technology was originally developed.

www.syre.com