CIRCULATE CAPITAL

Circulate Capital finances innovations that prevent the flow of plastic waste into the world's ocean. 

TARGET USERS: Individuals, Businesses, Industry, Government

KEY CONSIDERATIONS: Interested parties can submit an initial 5-page proposal requesting funding; if proposal is of interest, a full proposal will be requested of the applicant.

    MORE INFORMATION: https://www.circulatecapital.com/



    THE PROBLEM

     

    Research has found that the majority of ocean plastic enters waterways from five countries in South and Southeast Asia, and that we could reduce this flow by as much as 50% by investing in waste and recycling management in these countries. 

    To unlock the capital needed from institutional investors to build circular supply chains and sustainable waste and recycling systems in South and Southeast Asia, Circulate Capital seeks to prove that investing in this sector is scalable and can generate competitive returns.

    However, several factors are hindering the development of efficient, sustainable and investable waste management and recycling supply chains in South and Southeast Asia:

    • Lack of capital
    • Shortage of investable ventures
    • Underdeveloped value chains
    • Complex policy and regulatory frameworks
    • Lack of public awareness and participation

    Investment and philanthropic capital are both needed to establish the overall conditions to incentivize innovation in the sector and create and support ventures that will attract investors while generating positive environmental and socio-economic impacts.

     

    THE SOLUTION

    Circulate Capital invests in opportunities designed to intercept ocean plastic at the source by collecting, sorting, processing, and recycling waste in South and Southeast Asian countries. As a result, waste is diverted from the environment into the recycling value chain, furthering the circular economy.

    Circulate Capital established the world’s first investment fund dedicated to preventing ocean plastic: Circulate Capital Ocean Fund (CCOF). CCOF is a new, blended financing mechanism, bringing together the public and private sectors to invest for maximum impact. It was created in partnership with leading corporations, PepsiCo, the first investor, Coca-Cola, Danone, Dow, Procter & Gamble, Unilever, Chevron Phillips Chemical and backed by USAID.

    Financing innovative local companies that are working to address the challenge is a critical step to reducing the flow of ocean plastics and also key to improving economic development and public health outcomes. The model relies on partnerships with local businesses implementing solutions on the ground in source communities, and on incentivizing a new generation of social entrepreneurs to build a fresh pipeline of potential projects.

    Circulate Capital’s finances projects in three principal segments of the waste management supply chain: collection, sorting/processing, and recycling/end markets.

    They are particularly interested in projects that offer:

    • Opportunities to implement more efficient collection and aggregation, and/or to apply more professional management within the existing infrastructure, including the informal), for plastics and other commodities within the waste stream.
    • Opportunities to galvanize underutilized assets that may contribute to more efficient collection, sorting, and recycling or end use of plastics and other commodities within the waste stream.
    • Technologies, materials, applications and projects that contribute to either 1 or 2 above.

       

      COMPETING SOLUTIONS

      Circulate Capital is a unique investment fund that leverages blended financing from private and public sectors. Competing solutions include grant or pilot funding by intergovernmental agencies, governments and private industry.

       

      CASE STUDY EXAMPLES

      Case studies pending publication as Circulate Capital's first investments are announced.

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