Spanish cotton recycling company specialising in the textiles and the apparel industry, Recover, has received $100 million in a minority stake investment via the Sustainable Investing business unit within Goldman Sachs. The capital will be used to accelerate Recover’s global expansion efforts further and ramp up production capacity.
Recover’s process of recycling textiles stems back to 1947, and over the course of four generations, the firm has iterated on its methods to a process today that addresses one of the biggest problems facing the fashion industry: sustainability.
According to Recover, through the new investment, they can increase their output to over 350,000 metric tons of recycled cotton fibre per year by 2026, thus saving up to 5 trillion litres of water annually, a figure equivalent to the drinking water consumed by over 4.7 billion people each year.
“Recover is helping create a sustainable future by solving a colossal environmental issue and we are overjoyed to partner with Goldman Sachs to accelerate our growth,” commented Recover CEO Alfredo Ferre Garcia.
Operating in a $50 billion cotton market, Recover counts global brands including Primark, Inditex, C&A, Revolve, and Lands’ End amongst its customer base, and has recently opened manufacturing hubs in Pakistan and Bangladesh, with additional hubs in Bangladesh and Vietnam on track to begin operations in the near future.
“For change to happen at scale across the fashion industry, we need partnership and collaboration with innovators like Recover,” commented Primark’s Lynne Walker. “As we increase the use of Recover’s recycled cotton fiber in Primark products, this investment will enable us to meet our pledge to make more sustainable fashion affordable to millions of customers.”
Goldman Sachs Asset Management joins Recover majority shareholder STORY3 Capital Partners, with Letitia Ferrier Webster, Head of Sustainability for Private Investing at Goldman Sachs Asset Management Division joining the Board of Directors at Recover as part of the deal.
“Recover is a leading disruptor in the apparel and textiles space with much-needed sustainable solutions grounded in materials science,” said Webster. “We’re excited to invest in Recover’s growth to accelerate scaled production and the continued development of its technologies.”
STORY3 Capital Partners’ Peter Comisar concluded, “We are incredibly proud that our collaboration with Recover has enabled the business to dramatically scale since our acquisition in 2020. Over the coming years, we will see a radical transformation of large industries with sustainable solutions. Recover is uniquely positioned to be the global leader in sustainable cotton fiber and we are excited to partner with Goldman Sachs on the next phase of Recover’s evolution.”
Would you like to write the first comment?Login to post comments