Bast Fibre Technologies (BFT), headquartered in Victoria, British Columbia, has closed a major strategic financing with Ahlström Capital of Finland.

 BFT will immediately begin work to expand fibre manufacturing capacity at its US flagship facility in Lumberton, North Carolina, and its EU-facility near Düsseldorf (NRW).

The financing will enable BFT to produce over 10,000 metric tons of sero-branded hemp fibre per year by 2023 and up to 50,000 metric tons annually by 2026.

“Nonwoven companies, converters and leading consumer goods companies are looking for viable natural fibre options to achieve their corporate sustainability initiatives as they move away from synthetics,” said Jim Posa, CEO of BFT. “The market for natural fibres is set for rapid growth, and this highly strategic funding will help BFT to solidify its position and further accelerate its expansion to meet the increasing demand for tree-free, plastic-free fibres.”

“As the nonwoven industry transitions away from plastics, we believe there will be exponential growth in the natural fibres market,” added Lasse Heinonen, president and CEO of Ahlström Capital. “As a responsible investor with a strategic, long-term mindset, we seek to invest in companies focused on solutions that help drive sustainable development. With a strong and experienced management team, BFT is well positioned to become a global leader in the production of sustainable bast fibres. We see sustainable value-creating opportunities in the company,”

“Ahlström Capital has an excellent reputation for investing in cleantech companies offering sustainable solutions,” said Noel Hall, BFT’s executive board chair. “It is important for us to work with an investor sharing our values and our vision of moving away from synthetic materials in nonwoven applications. Ahlström Capital has several complementary portfolio holdings in the nonwoven and sustainable fibre industries, making it both a natural fit and value-added investor for BFT.”

www.bastfibretech.com

www.ahlstromcapital.com