GreenDot increases LDPE recycling capacity with entry into the French market

GreenDot increases LDPE recycling…

The integration of the French RG Group into GreenDot expands European capacities for mechanical recycling of low density polyethylene (LDPE) film and marks the company's first direct operational step into the French market. The two LDPE recycling plants located in Tence and Saint-Pal-de-Mons are being added to GreenDot's existing facilities in Hörstel and Eisfeld in Germany and in Piacenza in Italy. As a result, GreenDot now operates five mechanical plastics recycling plants in Europe, supplying recyclates of defined quality to converters and brand owners active in the packaging market. The expansion of the production base comes at a time when some local players are withdrawing from the LDPE film recycling segment, which increases the importance of stable and predictable secondary raw material sources on the European market.

Entry into the French market and strengthening of PE film recycling expertise

The integration of RG Group represents GreenDot's first operational presence in France and a significant strengthening of its expertise in recycling polyethylene films from commercial and industrial sources. The company emphasizes that it focuses on recycling LDPE film suitable for packaging applications, which is in line with the goals of building a more circular plastics economy.

The announcement points out that the acquisition takes place at a time when important local players in the LDPE recycling market are limiting or ending their operations. In this context, GreenDot declares a stronger commitment to developing high quality LDPE film recyclates that can be reintroduced into the packaging value chain, while supporting the reduction of carbon footprint and the European Union's goal of greater self-sufficiency in critical raw materials.

Five mechanical plastics recycling plants in Europe

With the addition of the two plants in Tence and Saint-Pal-de-Mons, GreenDot now operates five mechanical plastics recycling facilities in Europe. In addition to the locations in France, the company runs plants in Hörstel and Eisfeld in Germany and in Piacenza in Italy. This network of production units enables the supply of plastic recyclates to converters and brand owners in various countries, with the company highlighting the European origin of these materials.

The new capacities are of particular importance for the LDPE film segment, from both post-consumer and post-commercial waste streams. According to information provided by the companies, RG Group currently processes more than 20 thousand tonnes of LDPE film per year, with the potential to increase capacity beyond 35 thousand tonnes annually. The strengthened portfolio of operations is intended to support supply stability for recyclate to the European packaging industry.

Impact of French regulations and local closed-loop systems

The activities of plastics recyclers in France are influenced by the eco-modulation fee system, which creates incentives for brand owners to increase the share of recycled content produced in Europe in their packaging. GreenDot points out that the expansion of activities, particularly in the region commonly referred to as the "plastic valley" near Lyon, promotes the development of regional closed-loop systems and helps local industries achieve their circularity targets.

The development of recycling infrastructure in these locations is intended to support converters and brand owners in implementing packaging strategies that take into account regulatory requirements and increasing expectations regarding the content of recycled plastics. The role of recyclates produced in Europe is also emphasized in the context of the European Union's efforts to increase strategic independence with regard to critical materials.

Statements from company representatives

Laurent Auguste, CEO of GreenDot, commented on the importance of integrating the French group for the company's development: "We are honoured that, after the integration of Forplast last year, the highly skilled and recognized RG Group has now decided to join our team. It is an important step in strengthening our ability to act as one of the most reliable players in Europe, accelerating true circularity of plastics packaging. France is a key market in need of increased plastic recycling, and we aim to be a meaningful contributor to this needed transformation. The addition of RG Group to our portfolio of businesses enables us to strengthen our support to brands committed to sustainable packaging to reach the coming PPWR recycled content targets."

The French perspective was presented by Eric Preynat, CEO of RG Group: "Joining GreenDot enables us to scale our impact and further develop high-performance LDPE recycling in France. Together with GreenDot we are building a stronger European circular economy and creating real value for converters and brand owners."

Expanding the recyclate offer for the packaging sector

According to the announcement, this strategic move allows GreenDot to continue expanding its European presence and reinforces its role as a supplier of recycled plastics for the packaging industry. Particular emphasis is placed on LDPE recyclates recovered from both post-consumer and post-commercial waste, which can be used again in the processing of films and other packaging products.

The expansion of the network of mechanical plastics recycling plants in several EU member states is intended to provide more predictable access to secondary raw materials and to support the implementation of European and national requirements regarding recycled content in packaging products. For converters this translates into the possibility of using recyclates "made in Europe", which is important both from a regulatory and environmental perspective.

A group developing solutions to close the plastics loop, providing recycling, sorting, EPR licensing and consulting on design-for-recycling.

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