The Last (plastic) Straw!
Paper straw maker Transcend Packaging secures £10m equity boost to expand
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aper straw maker to McDonald’s, Transcend Packaging, has secured a £10m equity investment to support is expansion plans just as the UK moves close to a ban on plastic straws. The Ystrad Myanch-based business has been backed by private equity firm IW Capital, which will allow it to accelerate its range of paper-based alternatives aimed at reducing single-use plastic. It uses digital printing and specialty coating technology to produce paper straws, cups, and food containers. Since being set up in 2017 the company has seen significant growth and partnerships with leading consumer brands, that also include Starbucks and KFC. With bans on plastic straws and other single-use plastics coming into effect in the UK from this October and the EU from April 2021, Transcend is well positioned to help its clients make the transition to paper straws and other sustainable products. Under currently enacted legislation, over 50 billion plastic straws used in the UK and Europe every year will need to be replaced. Transcend expects to use the investment
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Chippy Chat & Fast Food Magazine • September 2020
to cement its leadership position in the European marketplace. The company believes that recent events have shown the importance of having locally sourced supply chains that comply with legislation to keep our food and drinks safe. Lorenzo Angelucci, CEO, Transcend Packaging “This announcement puts the UK on the front foot in the move away from singleuse plastics and we commend the UK government for taking meaningful action and hope this sets a strong precedent for other single-use items like coffee cups and lids. By starting with simple measures like straws and cotton buds, the ban will prove that change can happen and will spur investment in create more, better replacements for other single use plastics in the future. With coronavirus slowing down the production and importing of all types of plastics and packaging from the Far East (and the carbon footprint this creates) more businesses will be looking for locally sourced products. One early lesson from this situation is that companies need to take proactive measures to create geographical diversification in their supply chains so they are not overly reliant on a single region or country.”
Chippy Chat & Fast Food Magazine • September 2020
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