Matrix Pack to receive EUR 8.5 million in support from EIB to focus all production on green single-use packaging
- Matrix Pack are the first Greek company to benefit from EIB Venture Debt support
- Company is shifting entire product portfolio to renewable and biodegradable materials
- EIB will support the initiative in the form of EUR 8.5 million in venture debt financing over 5 years for company’s expansion activities
- Matrix Pack are the largest drinking straw producers in Europe
Matrix Pack, Europe’s leading producer of drinking straws, has become the first Greek company to benefit from the European Investment Bank’s (EIB) Venture Debt support to help the company reduce the use of single use plastics to millions of consumers.
The EIB has agreed to provide a EUR 8.5 million 5-year venture debt financing facility to accelerate research and development, capital investment and international expansion of Matrix pack activities across Europe and North America. The agreement was announced at the company’s premises near Athens on Monday. EIB Vice President Christian Kettel Thomsen was also given a tour of the company’s facilities.
With four production units, three in Greece, and one in Bulgaria – as well as a sales network in Europe, USA, Africa, Oceania and Middle East, Matrix Pack produces single-use paper straws and biodegradable lids focusing on alignment with the Single Use Plastics EU Directive prohibiting the use of plastics as of 2021. The company has an ambitious Research, Development and Innovation investment plan to phase out plastic-based production and shift its entire product portfolio to renewable and biodegradable materials.
“This project indicates our high ambitions, and it is already established in the market. It is a great opportunity to prove that transformation and compliance to environmental policies is a business opportunity and at the same time a challenge to contribute to the safety and independence of the European supply chain as opposed to dependence on single-use-products coming from Far East. I would like to thank the European Investment Bank, the whole Matrix Pack team and Deloitte for the implementation of the project,” said Matrix Pack chairman Lyberis Polychronopoulos.
“Matrix Pack, supported by the EIB’s venture capital financing, designed to cater for the needs of dynamic and growing companies, is setting new standards in the paper drinking straw industry. Last year the European Union took the bold step to reduce use of Single Use Plastics, essential for combatting waste, strengthening the circular economy, and ensuring cleaner beaches and oceans. Matrix Pack was already ahead of the game by planning to expand production of “green” packaging. Over the last 6 years, EIB Venture Debt financing has supported expansion of innovative companies across Europe. I congratulate Matrix Pack as being the first Greek company to seize the opportunities provided by EIB Venture Debt,” said EIB Vice President Christian Kettel Thomsen.
Today’s agreement is the result of many months of work between Matrix Pack and the EIB as the company works towards creating the new knowhow as the single-use-product industry evolves and restructures. The company have invested heavily in R&D in order to comply with the E.U directive concerning new kind of machineries and materials, the digitalization of the work flow and continuous training of operators.
Matrix Pack currently produces 20million paper straws per day, and upon completion of the project will produce 30 million paper straws per day. This will transform Matrix Pack from a Small-to-Medium Enterprise (SME) into a larger corporation. During the entire process, Matrix Pack works exclusively with European suppliers for raw materials and machinery.
Over the last 6 years, EIB Venture Debt financing has supported expansion of innovative companies across Europe. The EIB is working with Greek banks and financial partners to ensure that companies across this country can access finance. Matrix Pack is the first Greek company to seize the opportunities provided by EIB Venture Debt.