Southeast Asia focus for new company – Circulate Capital – tackling ocean plastic plight

23 Jul 218 --- Circulate Capital, a new impact-focused investment management company, launched today in partnership with Closed Loop Partners, a firm that invests in companies, technology and recycling infrastructure to advance the circular economy, and Ocean Conservancy, a leading nonprofit environmental advocacy organization working to protect the world's ocean. Closed Loop partners are famously leading Starbucks' and McDonald's search for a sustainable coffee cup solution.

Circulate Capital will invest in companies, innovation, and projects that prevent plastic from leaking into the ocean, with a focus on South and Southeast Asia. Scientists estimate that more than half of the 8 million metric tons of plastic that flow into the ocean every year come from developing countries in the region where waste management has lagged behind rapid economic growth, the company notes.

“Circulate Capital seeks to fill capital gaps and prove the investment market by financing opportunities that collect, sort, process, and manufacture using waste in areas known to contribute to the ocean plastic crisis,” says Kaplan, Founder and CEO of Circulate Capital.

“Ocean plastic presents one of the most urgent and fast-growing ecological challenges of our time. Our objective is nothing less than to become a leading force behind solving the capital gaps of companies and infrastructure that prevent ocean plastic. Our firm isn't the only solution to ocean plastic, and we depend on enabling policies, regulatory environments, supply chains, and strong partnerships in the ecosystem. Our goal is to remove capital as a barrier. We are grateful to the commitment of Closed Loop Partners and Ocean Conservancy as well as to the members of our steering committee for their support.”

The new Company evolved out of the “Closed Loop Ocean” project, following commitments made by Closed Loop Partners, Ocean Conservancy, and a number of corporate partners at the Our Ocean Summit in Malta in October 2017 to create financing vehicles focused on preventing plastic from flowing into the ocean.

Circulate Capital will operate as a separate and independent firm with a dedicated team and the resources required to turn this commitment into reality. 

Building on Closed Loop Partners' successful investment model, Circulate Capital aims to finance companies and projects that focus on waste management and recycling in emerging markets in South and Southeast Asia. The fund will also support incubation of eco-systems of companies, NGOs and municipalities that will, among other things, increase the pipeline of investable opportunities for all investors. First investments are expected in Q1 2019.