Repeats Group has announced its plan to build a pan-European plastics recycling platform following a €100 million (£83m) equity commitment from Ara Partners.

The company, which uses a mechanical process to transform post-commercial plastic waste into resin suitable for commercial and industrial applications, said the recycling platform will focus on producing high quality recycled low density polyethylene (LDPE).

Repeats is scaling LDPE recycling capacity throughout Europe to address the shortage of supply, compared to the growing demand required to meet industry sustainability and net zero targets.

Together with Ara, the companies plan to build an LDPE recycling platform in Europe through a combination of greenfield development, acquisitions and strategic partnerships.

Greg Rung, CEO of Repeats said: “The need for an effective, circular solution to the growing plastic waste problem is tremendous and European businesses, consumers and governments are aligned in working towards higher utilisation of recycled plastic.

“We seek to partner with leading CPG (consumer packaged goods), petrochemical and plastic packaging manufacturing companies to create a high-quality supply source that is widely available throughout Europe. We are proud to partner with Ara, which shares this ambition and has expertise and resources to help achieve our objectives.”

Katy Boettcher, a Vice President at Ara Partners added: “Repeats has the opportunity to facilitate a material reduction in green house gas emissions through replacement of virgin plastic resin with recycled LDPE from its facilities.

“We believe that the platform will have a meaningful impact on the markets it serves.”