Closed Loop Partners finances Olyns to scale AI-powered reverse vending machinery
18 Apr 2024 --- Closed Loop Partners is investing in Olyns to accelerate consumer packaging collection, sortation and recycling in the US. The financing, facilitated through Closed Loop Partners’ private credit arm, the Closed Loop Infrastructure Group, aims to scale up Olyns’ Cubes reverse vending machines, increasing consumer access to recycling in the country.
Olyns, founded in 2019 in Silicon Valley, has developed AI-driven reverse vending machines known as Cubes, designed to collect and sort packaging materials such as food-grade plastic, glass and aluminum. The machines incentivize recycling by providing users cash rewards and utilizing AI to rapidly learn and adapt to recognize newly deposited products from various brands, optimizing the recycling process.
By enhancing material sortation and increasing access to recycling, Olyns aims to bolster the supply of high-quality recycled content, meeting the sustainable packaging goals of corporations and reducing reliance on virgin plastic.
“Greater consumer access to recycling, more efficient material sortation and economically sound recycling systems are critical to recovering high-quality materials,” says Philip Stanger, co-founder and CEO of Olyns.
“Since we installed our first Cube in California in 2020, user growth has been phenomenal, proving that impact is magnified when people have easy access to recycling. While we started with collecting PET plastic, aluminum and glass beverage containers, we are looking to build our AI capacity to potentially expand the collection for hard-to-recycle materials, such as films and flexibles.”
“Closed Loop Partners’ financing will help us build the circular economy infrastructure that helps make recycling possible for more materials and accessible to more communities.”
Philip Stanger, co-founder and CEO of Olyns with partner, John Buchowski.Material recovery
With the investment, Olyns plans to scale its operations further, partnering with key brands to expand its network of Cubes and increase the collection and recovery of additional materials.
The investment in Olyns can enhance material collection in underserved regions, particularly in states lacking deposit return schemes like bottle bills. By generating a cleanly separated stream of materials, Olyns further strengthens the market for high-quality recyclables, looping more material back into the same or similar products.
“We see immense opportunity to finance rapidly growing technology innovations, alongside large-scale recycling infrastructure, to improve materials’ sortation and accelerate the circular economy in the US,” says Jennifer Louie, managing director and head of the Closed Loop Infrastructure Group at Closed Loop Partners.
“Expanding the types of financing available in the market can help meet the distinct needs of innovators developing new circular solutions. Catalytic capital is a powerful tool, providing the foundation needed to accelerate further growth.”
“Closed Loop Partners’ Infrastructure Group is proud to finance scalable and replicable solutions and provide access to the Closed Loop Partners ecosystem to support their growth. We are thrilled to partner with Olyns, as they disrupt material collection and advance more circular supply chains for valuable packaging materials.”
Minimizing contamination
Closed Loop Partners details that using AI to identify and sort containers at the point of deposit into separate bins, Olyns minimizes the co-mingling and contamination common to traditional recycling.
This results in “industry-leading” material recovery rates and bale quality, ensuring that more containers deposited can be made into new containers. Most of the rPET collected in Olyns’ Cubes is food-grade and can be used as material for recycled bottles.
“The material quality of aluminum, PET and glass beverage containers collected by the Olyns reverse vending machines is some of the highest quality material Ming’s facilities receive from our customers,” says Jeff Donlevy, general manager of Ming’s Recycling Corp, a current processor of Olyns CRV material.
“Mixed plastic material collected through co-mingled programs often can’t achieve the same quality standards, and significant amounts end up in landfills. Olyns’ technology minimizes co-mingling and consistently achieves the food-grade quality material that plastic reclaimers want.”
By Radhika Sikaria
