RE&UP Secures €70M To Expand Textile Recycling Capacity
Proparco has granted a €70 million senior loan to RE&UP Recycling Technologies, a circular-tech textile recycling venture of SANKO Group, to expand its textile recycling capabilities and reduce its environmental footprint. This funding will help RE&UP scale its next-gen recycled fiber production and build a new textile-to-textile recycling factory in Gaziantep, Turkey.
The loan, Proparco’s second to SANKO Group, follows a €37 million loan in 2021 aimed at sustainable investments and job creation within the Group’s textile sector. This new financing supports RE&UP’s efforts to advance the textile industry’s transition to a circular economy, utilizing 100% renewable energy to reduce carbon emissions.
Rémy Rioux, CEO of AFD Group, praised the partnership, noting it will enhance SANKO’s role in Turkey’s carbon-neutral transition and boost local employment and resilience, particularly following recent challenges in Gaziantep. Stéphane Froissardey, Regional Director of Proparco, emphasized the importance of this investment in promoting circular business models and reinforcing the collaboration between Proparco and SANKO.
Fatih Konukoglu, Vice Chairman of SANKO Holding and Chairman of RE&UP, expressed gratitude for Proparco’s support, highlighting the investment’s role in scaling RE&UP’s recycling capacity to 1 million tons by 2030 and setting new standards for circularity in the textile industry.
