From the Sector

• Decline in revenue due to volatile standard viscose prices and currencies
• Prices for key raw materials still high
• New production line in Heiligenkreuz in start-up phase
• Backward integration into dissolving wood pulp to be strengthened via joint venture in Brazil

Lenzing – The Lenzing Group generated solid results in a challenging market environment in the first half of 2018. The decline in revenue and earnings compared with the first half of the previous year, which was the best half-year in the company’s history, was based on a mix of volatile prices for standard viscose and price increases for key raw materials, coupled with currency effects. The Lenzing Group’s strategic orientation with a focus on specialty fibers had a positive impact in this environment and is increasingly bearing fruit. The corporate strategy sCore TEN is being implemented with great discipline in order to expand the company’s offering of specialty fibers and even more extensively support customers and business partners.

Revenue declined by 6.4 percent compared with the first half of the previous year to EUR 1,075.4 mn. This decrease is primarily attributable to less favorable currency exchange rates. EBITDA (earnings before interest, tax, depreciation and amortization) decreased by 28.1 percent to EUR 194.8 mn, especially due to price increases for key raw materials and higher energy prices. The EBITDA margin fell from 23.6 percent in the first half of 2017 to 18.1 percent in the first half of 2018. EBIT (earnings before interest and tax) declined by 37 percent to EUR 128.7 mn, leading to a lower EBIT margin of 12 percent (H1 2017: 17.8 percent). The net profit for the period dropped by 39.3 percent from EUR 150.3 mn in the previous year to EUR 91.3 mn. Earnings per share equaled EUR 3.44 (H1 2017: EUR 5.55).

“So far, the financial year 2018 proved to be as challenging as expected, and market headwinds were clearly noticeable. In this market environment, we are satisfied with the solid results we report. We are proud that with our corporate strategy sCore TEN and the focus on growth with specialty fibers we show big steps in the right direction. The recently announced joint venture with Duratex is another important step in executing this corporate strategy,” says Stefan Doboczky, Chief Executive Officer of the Lenzing Group. “We will continue to implement our strategy with great discipline and are convinced that this will steadily improve the long-term profitability of Lenzing,” Doboczky adds.

Largest dissolving wood pulp line worldwide

In June, the Lenzing Group and Duratex, the largest producer of industrialized wood panels of the southern hemisphere, announced that they had agreed on the terms and conditions to form a joint venture to investigate building the largest dissolving wood pulp plant (single line concept) in the state of Minas Gerais, (Brazil). This decision supports the self-supply with dissolving wood pulp and the growth in specialty fibers, defined in Lenzing’s sCore TEN strategy. The joint venture will investigate the construction of a 450,000 t dissolving wood pulp plant, which is expected to become the largest and most competitive single line dissolving wood pulp plant in the world. The final investment decision to build the dissolving wood pulp plant is subject to the outcome of the basic engineering studies and the approval by the respective supervisory boards.

Even stronger focus on sustainable products

As a pioneer in sustainable fiber solutions, the Lenzing Group is committed to higher standards in the textile and nonwoven sectors. More than EUR 100 mn will be invested in sustainable manufacturing technologies and production facilities by 2022 in order to realize this vision. In line with the Group’s specialty strategy, another two milestones were set in the first half of 2018: Lenzing announced an investment of up to EUR 30 mn in another pilot line for the production of TENCEL™ Luxe filaments at the Lenzing site. In addition, the company also introduced the environmentally friendly process for the production of LENZING™ ECOVERO™ branded viscose fibers at its Chinese site. Both decisions contribute to better meeting the strong demand for environmentally compatible products.

Expansion of capacities

CAPEX (investments in intangible assets and property, plant and equipment) rose by 60.8 percent year-on-year to EUR 117.2 mn in the first half of 2018. This is primarily attributable to the capacity expansions in Heiligenkreuz (Austria) and Mobile, Alabama (USA) and the expansion of the existing dissolving wood pulp plant in Lenzing. The company is pressing ahead with these projects as well as with planning work on the construction of the next state-of-the-art lyocell production facility in Prachinburi (Thailand).

New brand identity

With the new positioning of its master brand and its product brands, the Lenzing Group started a new phase of branding and brand communication in the first half of 2018. Lenzing decided to carry out a new brand strategy in order to sharpen its company and product profile as a sustainable innovation leader for customers and partners along the value chain as well as for consumers. The most important pillar of this new brand strategy is a brand architecture with a focus on fewer brands and a strong message to consumers. With the TENCEL™ brand as an umbrella brand for all specialty products in the textile segment and the VEOCEL™ brand as the umbrella brand for all specialty fibers in the nonwoven segment as well as the new master brand, which was presented in March, Lenzing showcases its strengths in a targeted manner.

Outlook

The International Monetary Fund expects a further acceleration in global economic growth to 3.9 percent for 2018. However, growing protectionist tendencies in the political arena represent a source of uncertainty. Export-oriented companies in the Eurozone are faced with additional challenges from the currency environment.

Developments on the fiber markets should remain positive, but with continuing volatility. The rising demand for cotton should support prices despite the increase in production. Polyester fiber prices have stabilized after the increase in previous years.

The wood-based cellulosic fiber segment, which is relevant for Lenzing, should see further strong demand. After years of moderate capacity expansion in the viscose sector, significant additional volumes will enter the market in 2018 and 2019. As a result, standard viscose prices will remain under pressure. The Lenzing Group is very well positioned in this market environment with its corporate strategy sCore TEN and will continue its consistent focus on growth with specialty fibers.

The Lenzing Group still sees challenging market conditions for the second half of 2018. In addition to the price pressure on standard viscose, the prices of some key raw materials such as caustic soda are still at a very high level and exchange rates continue to be volatile. Our specialty fibers are expected to continue their very positive development. In this context, the Lenzing Group is satisfied with the earnings development to date, but underlines its estimate that the results for the year 2018 will be lower than the outstanding results in the last two years.

Intertextile Shanghai Home Textiles has always been at the forefront of the China and Asia markets for participants to find the latest products from around the world and learn about the current market trends. This year, a series of fringe programme events together with some new show features will inspire fairgoers throughout the four-day fair.

New features for contract business

Given the growing demand for textile solutions for architecture, interior design and the hotel industry, the coming August fair will highlight leading contract upholstery suppliers with distinctive labels. In addition, the show will feature a showcase area at hall 5.1 which displays quality contract upholstery from exhibitors. The area will be decorated by interior designers, demonstrating the functionalities of different contract textile products.

To introduce the opportunities that the textile industry can capture from contract business, both domestic and international architects, hoteliers, interior designers and industry experts have been invited to share their insights about design, market, materials and project management on the Contract Business Days, on 28 & 29 August.

Naima A Khan, founder and interior designer from The Green Design in UAE, for instance, will be speaking on The Art of Sustainable Interior Design. She has worked with many international home fashion retail store developers, as well as textile and interior companies, and is experienced in using therapeutic colour schemes, sustainable materials and sunlight in different design projects. Another guest, Esra Lemmens, who is also a designer and active speaker at design events, will talk about the expanding importance of design throughout Dubai as well as her suggestions for doing business in Dubai.

Other speakers also include Martin Oliu from the international design company, Harmony World Consultant and Design (HWCD). He has participated in a broad area of design such as architectural construction & interior design and is responsible for various luxury residential and hotel design projects. Professor Thomas Charles, who has been working on industrial product design and research for user experience & consumer behaviour study, business strategy and branding designs will give a talk on ‘The Power of Innovative Design’. Trevira CS will also participate in the Contract Business Day through their Chinese representative, Jenny Zhang, who will share how the permanently flame retardant Trevira CS textiles can fit into contract business.

Digital printing and technics remain a focal point

The Digital Printing Micro Factory concept was first introduced in the 2017 edition of Intertextile Shanghai Home Textiles, and received much attention and positive feedback. To cater to the growing demand for efficient, one-step textile solutions, Global Fortune Limited from Hong Kong will work jointly with Kornit Digital and Bullmer to set up a Micro Factory at this August’s fair. An advanced digital printing system – Allegro & Cut by Kornit Allegro – will be introduced. The system streamlines the entire production process by combining printing and drying together so multiple machinery is not needed. It is also eco-friendly as one single ink set suits various fabric types, and designs will be printed in shapes and sizes that are ready for cutting. Visitors can learn more about the complete production process from printing and cutting to sewing via the onsite demonstration.

In addition to forums discussing how digital printing helps flexible production, there will also be an array of forums where some top domestic industry players will share their experience in resolving  technical problems in productions and satisfying requirements in different product tests.

Forward-looking events to ignite inspiration

The trend committee formed by international trendsetter the NellyRodiTM Agency has developed three themes, namely Caring Future, Crazy Future and Emo Future for the 2019 International Lifestyle Trends. Apart from the trend area where product displays are located, visitors can get a better understanding about the future living styles from the panel discussion and trend area tour. The agency’s creative director, Vincent Grégoire, will guide tours to explain the trend concept. He will also join other industry experts in the panel discussion on consumer lifestyle trends.

Another inspiring event during the show is the Future Talk in which representatives from different industries including fashion brand Shiatzy Chen, home appliance giant Haier, gourmets and lifestyle experts will share their perspectives on the future trends.

The show will be held from 27 – 30 August in the National Exhibition and Convention Center in Shanghai. Intertextile Shanghai Home Textiles – Autumn Edition is organised by Messe Frankfurt (HK) Ltd; the Sub-Council of Textile Industry, CCPIT; and the China Home Textile Association (CHTA).

To find out more about this fair, please visit: www.intertextilehome.com.

Tenowo, Inc. and Tenowo GmbH, Hoftex Group AG businesses and manufacturers of engineered nonwovens, announce a new addition to the company, Tenowo de Mexico, S. de R.L. de C.V. As a first step it involves the establishment of a sales office and warehouse in the city of San Luis Potosí, Mexico.

San Luis Potosí, Mexico – The new entity is jointly owned by Tenowo Inc. in the USA and Tenowo GmbH in Germany. It was established in response to increased demand for Tenowo’s automotive products in the Mexican market and will house materials manufactured both in the United States and Germany.

“This location provides Tenowo, Inc. with a footprint in a fast-growing geographic part of our market and is hopefully the first step towards further expansion. San Luis Potosí is a thriving city in the heart of the Bajio region of Mexico and has access to four major ports. In addition, it is within a few hours of the major automotive manufacturing hubs in Mexico.” stated Chris Peart, President and CEO of Tenowo, Inc. “It is the ideal location for our needs,” he added.

Dr. Harald Stini, Global Managing Director for Tenowo commented, “Tenowo continues to have strong growth prospects worldwide and this is part of our efforts to capitalize on new opportunities. We hope that this venture will enable us to support our global customers with locations in Mexico and gain new regional customers.”

• Product innovations, thought-leadership and the new certifications.
• A set of strategic green actions, aimed at increasing transparency and traceability in the company and throughout the industry.

Garmon Chemicals relaunches its commitment to an increasingly green and transparent use of chemicals. The new goal for the company, which in January 2018 has become part of the US Kemin Industries group, is to embark on an actual journey towards sustainability, integrating product innovation with increasingly distinctive strategic actions.

There are three main innovations spearheading Garmon’s commitment. The partnership with the ground-breaking project Alliance for Responsible Denim in the exclusive workshop “Doctor Visits”, held in London June 12. The new ISO 14001:2015 and ISO 9001:2015 process certifications.  The innovative “Stretch Care” collection which features a whole package of eco-compatible solutions, specific for finishing in the world of stretch fabrics.

In partnership with Alliance for Responsible Denim for the “Doctor Visits” workshop
On June 12, in London, the stage was set for “Doctor Visits” an event-workshop organized by Alliance for Responsible Denim focusing on the dissemination and promotion of best practices for sustainable manufacturing. The meeting was dedicated to six selected denim brands, which had a chance to meet the greatest experts in the finishing of indigo fabric.

Garmon Chemicals made available its inimitable experience as technical partner for finishing, as well as conducting team sessions with the Jeanologia staff, a leading company for eco-sustainable technological solutions. The six brands brought the finishing recipes of their Never out of Stock styles, to receive support and recommendations from the experts about the most innovative alternatives in terms of sustainability. The goal was to show the brands new possibilities to migrate towards more responsible finishing, improving their recipes as well. This was a way to reaffirm how ecodriven innovations can also increase finished product quality.
 
The new ISO certifications: increasingly high standards
Garmon Chemicals is also pleased to announce that it has been awarded two important certifications for compliance with ISO international standards as regards safety, reliability and quality. Reference is made here to ISO 9001:2015, a certification which sets international criteria for quality management systems, and most notably, to ISO 14001:2015, a standard acknowledged worldwide stipulating all requirements for an environmental management system. This certification, in particular, helps organizations improve their environmental management performance levels through a more efficient use of resources as well as by reducing production waste. Indeed ISO 14001:2015 mandates that an organization should take into account all aspects relevant to its core business. Amongst assessed parameters there are: air pollution, managing water resources and discharge, waste management, soil contamination, mitigation and adjustment to climate change, as well as an efficient use of resources.

These certifications, once again, provide evidence of the constant commitment on the part of Garmon for an increasingly sustainable use of chemicals, aimed at truly reducing its impact on humans and the environment.
    
A commitment which comes to life in the new “Stretch Care” collection
Introduced on the occasion of the Kingpins exhibition in April 2018, the new “Stretch Care” collection is a line of products completely dedicated to enhancing the qualities and performance of stretch fabrics. The special formulations developed for this line, with their cutting-edge raw materials, are especially suited for treatments with a high eco-compatibility rate; at the same time they optimize the production process. It is worth mentioning in particular the innovative Geopower NPS (= no pumice stone), a compound which helps eliminate pumice stone from denim washings, thus reducing environmental costs and impacts. Another ground-breaking product is Avol Oxy White, the innovative bleaching agent designed to achieve localized effects on denim. Thanks to its composition it is an ecologically advanced product whose environmental impact has been reduced to a minimum, a real challenge to the use of potassium permanganate which tends to be pervasively used as part of industrial processes.

“We firmly believe in developing sustainable chemistry” – concludes Donald Mulazzani, Marketing and Business Development Director at Garmon Chemicals – “not only in terms of product, but also as evidence of our responsible approach on several levels. In this way, we want to contribute to disseminating what will need to be the best practices in the future, for the whole industry”.

Archroma, a global leader in color and specialty chemicals towards sustainable solutions, will be presenting its innovative denim solutions for manufacturers and brands at DenimsandJeans India 2018, on August 1 & 2, in Bangalore, India.

Just two months after the DenimsandJeans Vietnam show, Archroma will again showcase its unique combination of technologies for denim effects and colors, from fiber to finish, from the authentic roots of indigo to the most innovative and eco-advanced solutions.

At the India show, Archroma’s expert team will also present its coatings and washing solutions aiming at bringing denim creativity to a whole new dimension.
Visitors at the booth will be able to see an “illustration collection” of exciting indigo casts.

DENISOL®, BRINGING INDIGO BACK TO ITS ROOTS - NOW ANILINE-FREE*
Archroma’s Denisol® range is a newly developed pre-reduced liquid indigo solution that is manufactured in Archroma’s award winning ‘zero liquid discharge’ manufacturing plant in Pakistan. Denisol® Indigo 30 liq is compliant with major official eco-standards and requirements from retailers, brands and fashion leading companies and helps to produce fabrics suitable for current eco-labeling such as bluesign® and GOTS.

Responding to demands for a non-toxic alternative to the dyes that are used for the iconic and traditional indigo blue that consumers associate with denim and jeans, Archroma just announced the upcoming new Denisol® Pure Indigo 30.

ADVANCED DENIM, TOWARDS WATERLESS DENIM DYEING
Consider this: The water needed to produce one pair of jeans is said to be ~ 11'000 liters(1). With approximately 167 million pairs of jeans produced monthly(2), that is 1,837,000,000,000 liters of water consumed every month in the process!
Based on the Denim-Ox and Pad/Sizing-Ox dyeing processes, Archroma’s multi-awarded ADVANCED DENIM, dyeing technology allows savings of up to 92% in water, 87% in cotton waste and 30% in energy, compared to a conventional denim dyeing process.

The technology has been adopted by brands like Patagonia and received the prestigious 2012 ICIS Innovation Award and Innovation with Best Environmental Benefit Award.

• Optisul® C, “soft colors” made easy
  With Optisul® C dyes, denim manufacturers can produce soft denim colors in continuous dyeing processes, as well as on coating and printing. Optisul® C affinity-free, sulfide-free dyes can easily be combined with each other to create garments suitable for wash-down treatments in a wide array of easily achievable and reproducible soft colors.
  They are suitable for GOTS and bluesign® approval.
• Diresul® RDT Ocean Blues, ocean-themed bright sulfur blue dyes
  Archroma’s Diresul® RDT Ocean Blues are a collection of vibrant, ocean-themed bright sulfur blue dyes. These best-in-class dyes and their auxiliaries bring out the best of indigo, improve workability, dyeing consistency and process safety.
  They can be combined with Denisol® Indigo 30 liq in bottoming/topping manufacturing routes for avant-garde blue styles.
• Diresul® blacks & greys, a cosmos of greys and deep black and navies
  Archroma’s dye portfolio of conventional and black Diresul® specialties allow to create a universe of greys and deep black and navies. From superficial to solid blacks for both extreme wash-down and stay black effects.

EARTHCOLORS, TRACEABLE FROM NATURE TO FASHION
The EarthColors patented range of “biosynthetic” dyes for cotton and cellulose-based fabrics, which are made from waste left over by the agricultural and herbal industry after extraction, such as almond shells, saw palmetto, or rosemary leaves. The latest NFC technology used on the end-product hangtags enables transparency and traceability through the supply chain to consumers.
The EarthColors allow to produce the earth tones that are coming strong: red, brown and green colors. They have been adopted by brands such as Patagonia, Kathmandu and G-Star, and won an OutDoor Industry Award 2017.

COATING, A WHOLE UNIVERSE OF COLORS AND EFFECTS
Archroma’s dye and chemical specialties portfolio allows to create exciting colors and effects using coating applications, from exclusive sulfur dyes and pigment specialties that help highlighting the indigo look, to functional finishes that give performance to denim garments - using water-based, formaldehyde-free or ultra-low formaldehyde polymers.

SOLUTION PACKAGES FOR SUSTAINABILITY
Archroma recently introduced the ONE WAY Process Simulator, the last update of a calculation tool that supports its ONE WAY Sustainability Service introduced back in 2012. The new, online software can be used to mimic and compare products and processes, and thus calculate the ecological and economical profile of the final end-product.
Archroma’s portfolio of ZDHC MRSL-compliant chemicals and dyes is integrated into the ONE WAY calculation tool since 2013.
“It is time to make denim in a whole different way; denim that brings together innovation, sustainability and creativity,” says Anjani Prasad, Head of Sales India, Archroma. “Brands around the globe are exploring how to make fashion in a cleaner and safer way, and Archroma has the solutions to do just that, to create denim with a soul.”
Visit Archroma at DenimsandJeans India 2018 at t at Hotel Lalit, Bangalore, India, on August 1 & 2, 2018.
* Below limits of detection

(1) Arjen Y. Hoekstra, The Water Footprint of Modern Consumer Society
(2) American Chemical Society, www.sciencedaily.com/releases/2012/06/120619123753.htm.
Denisol®, Optisul®, Diresul® are trademarks of Archroma registered in many countries.
© 2018 Archroma

Hexcel Corporation (NYSE: HXL) and Groupe Gazechim Composites, an official Hexcel distributor for more than 20 years, have reached agreement to provide customized kitting services for advanced composite materials sold to aerospace and defense customers and for high-performance industrial applications.

The joint venture, named HexCut Services, brings together Hexcel – a leader in advanced composites – and Gazechim – a leader in distribution and logistics – to provide pan-European kitting services that will include Hexcel’s innovative carbon fiber prepreg and other composite materials such as adhesives and fabrics for aerospace, defense and industrial applications. Pre-cut kits save customers time and investment, reduce inventory and minimize material losses through scrap reduction.

Gazechim’s existing kitting plant in Maulévrier, 75km east of Nantes (France), acquired in 2016, will be the initial hub for providing pre-cut kits to customers as well as central services in the future to a network of local kitting facilities in Europe.

Thierry Merlot, Hexcel President – Aerospace, Europe, MEA and Asia/Pacific, said, “This is a great opportunity for us to join together with Gazechim, a trusted and well-established partner, to offer our leading advanced composite products to customers in a way that helps them become more productive and profitable.”

Gazechim will own a majority share of the joint venture. Jean Guittard, Chairman Gazechim, said, “This project marks a new era between Hexcel and Gazechim and consolidates our long-term partnership of almost 20 years.”

Archroma, a global leader in color and specialty chemicals towards sustainable solutions, today announced it has acquired all remaining minority shares in M. Dohmen S.A., an international group specializing in the production of textile dyes and chemicals for the automotive, carpet and apparel sectors.
 
Since its corporate carve-out from Clariant in 2013, Archroma is set on becoming a clear industry leader in supplying innovative chemistry solutions, with the goal to make the industries it serves more sustainable. Archroma made a first move in this direction when it acquired the textile chemicals business of BASF in 2015.
 
Archroma first acquired an interest in the capital of M. Dohmen S.A. with a 49% share in 2014 followed by an additional 26% share in 2017. Now, it has completed the acquisition of the remaining 25% share of M. Dohmen S.A.
 
Archroma is already serving customers of both companies with the combined product portfolio on all markets where both companies have a presence. Archroma and M. Dohmen product portfolios ideally complement each other, especially in the area of dyes and chemicals for synthetic fibers and wool, including for the automotive sector.
 
Archroma will now be able to proceed with the full integration of the M. Dohmen organization into Archroma, which will allow its experts worldwide to better focus on serving its customers’ needs and requirements.
 
“With this final step in the acquisition of M. Dohmen”, comments Marcos Furrer, President Brand & Performance Textile Specialties and Innovation at Archroma, “customers of both companies will now have access to even more products and solutions that work in their processes and markets, supported by Archroma’s leadership towards quality, innovation and sustainability.”
 
“I am proud to hand over a company that we have built from the ground up to what it is today, a recognized specialist in automotive and technical textile dyestuff”, said Manfred Dohmen, founder of the M. Dohmen group. “In the past 4 years, we have worked hand in hand with Archroma to pass on a solid business and a solid team who is ready and excited to further support the creativity and performance required by our customers.”

In line with the powerful global trend towards smarter fashion solutions, Iluna Group launches its Embroidery Division. Specialists in lace since 1985, the new Embroidery Division offers a complete and innovative product match in line with the modern expectations of brands and retailers. Staying true to Iluna’s DNA, the introduction of embroidery and guipure are all produced with only recycled materials.
IIn addition to the launch of the Embroidery Division, this season novelties include:

1. Of major interest today, the launch of velvet lace entirely made of sustainable materials including ROICA™ Eco-Smart family.

2. Within the Black Label collection, the Ultralight series is enriched with new multicolor floral galloons: here Iluna changes the color of the thread not only in the background, but also in the design, the same article reinvents itself in a variety of great visual impact.

3. Green Label collection, the Iluna dedicated range featuring a new responsible approach in respect of the planet and people, able to deliver innovation, beauty and quality, at 360°. In addition to the all over, jacquard, double jacquard and mesh offer, the line is also featuring new stretch Galloon laces fully made with GRS certified recycled materials, including the stretch thanks to the introduction of the unique ROICA™ sustainable yarn part of the ROICA™ Eco-Smart family.

4. ILUNA has strategically included in all their stretch laces only ROICA™ Eco-Smart family of sustainable yarns since some time.

5. ILUNA can also boast its new STeP (Sustainable Textile Production) certification by Oeko-Tex, a certification that clarifies and communicates the company’s sustainable production commitment. In addition to this, all products are Oeko-Tex 100 certified.

6. ILUNA has created the new e-shop offering its exclusive materials to smaller companies looking for added values as: creativity, innovation, made in Italy and responsibility.

7. The whole collection is also visible online at its web site, previous registration, and orders can be done directly online always aiming to customers care.

As society becomes increasingly digital while cyber threats are multiplying, trust is immensely precious to everyone, not only to consumers but also to companies and organizations whose business relies on digitalization. This highlights the importance of a versatile and trusted partner that focuses on cybersecurity.

Reflecting Nixu’s purpose, “we keep the digital society running", Nixu growth strategy focuses particularly on cybersecurity services for digital business transformation. Developing and delivering comprehensive cybersecurity services that enable clients to utilize, in a safe manner, the opportunities provided by the Industrial Internet of Things and Digital Identities is a key priority for Nixu.
Today, Nixu reached an important milestone and transferred to the Official List of Nasdaq Helsinki stock exchange and continues on its journey to become the number one choice as a cybersecurity partner for digitalization and the best workplace for cybersecurity professionals.

“When we first got listed on Nasdaq First North in 2014 we were quite small Finnish consultancy, in less than four years we have succeeded in transforming to an international cybersecurity services company and multiplied our size”, said Petri Kairinen, CEO of Nixu. “This is still only the beginning, as the demand for cybersecurity services raises exponentially. The listing on the Official List will enable us to reach further international growth funding which will help us uphold the fast growth speed. Of course, our global enterprise clients will also appreciate the transparency and quality associated with being a listed company.“

Packaging solution made of 100% plastic recyclate delivers circular economy proof point
Borealis, a leading provider of innovative solutions in the fields of polyolefins, base chemicals and fertilizers, announces the successful launch of a new packaging solution produced entirely with post-consumer recycled (PCR) material. Developed in close collaboration with the German consumer and industrial goods company Henkel and two additional value chain partners, this truly sustainable packaging solution is further evidence of how mtm plastics GmbH, a member of the Borealis Group, is helping increase the circularity of plastics. The launch has significance for the consumer goods industry because the robustness of this new packaging solution provides further evidence that plastic recyclate is indeed suitable for a variety of demanding packaging applications, in this case a popular adhesive brand marketed by Henkel.

Value chain collaboration yields plastic bottle and nozzle composed of 100% PCR material
In 2016, Borealis acquired leading German recycler mtm plastics GmbH, which is now a member of the Borealis Group. By leveraging their respective areas of expertise and decades of experience as a virgin polyolefins producer and “upcycler”, respectively, Borealis and mtm plastics are exploring new growth opportunities with joint forces.

A success story originating from this exploration is a recently completed pilot project with Henkel, the global leader for adhesives, sealants and functional coatings. The companies have worked to develop a new packaging solution based on recycled material for the Made-at-Home all-purpose glue bottle and cap, which Henkel is marketing under its well-known Pattex brand.  The aim was to replace the virgin plastic material traditionally used for this packaging with a recyclate-based resin. The resin, however, had to fulfil the diverse material demands for packaging of an adhesive product.

After extensive and joint application development, a new bottle was developed with the proprietary mtm product Purpolen® PE, a high-quality polyethylene regranulate produced by mtm at its facilities in Niedergebra, Germany. Value chain partner KKT Kaller Kunststoff Technik GmbH, a plastics processor also based in Germany, manufactured the bottles. For the three separate components of the adjustable applicator nozzle, which is used for both filigree and wide-area gluing, high-quality Purpolen® PP polypropylene regranulate produced by mtm was identified as the ideal solution. German plastic components manufacturer bomo trendline Technik GmbH produced the applicator nozzles.

The new Pattex Made-at-Home packaging solution successfully passed extensive application tests, including a three-month storage test and other tests of mechanical properties. It was launched on the European market in 2018.

“Our commitment to leadership in sustainability is deeply embedded in our companies´ values,” explained Matthias Schaefer, Project Manager for Global Packaging Engineering at Henkel Adhesive Technologies. “We are at the forefront of the industry when it comes to new sustainability strategies in packaging.  Thus, we identified Pattex Made-at-Home as a candidate for exploring the use of recyclate instead of virgin plastics. This constructive collaboration with our partners proves the viability of 100% PCR material for an adhesive product like Made-at Home. It also underscores our efforts at Henkel to drive leadership in sustainability in the consumer goods sector.”

“As a virgin polyolefins producer, Borealis is thrilled to be among the pioneers in using plastic recyclate in new applications,” says Günter Stephan, Head of Borealis Circular Economy Solutions. “Even though momentum is gaining in the drive to increase the circularity of plastics, we still need to prove without a doubt within the industry that using recyclates – and even 100% PCR – is a suitable and effective option, even for demanding applications. Thanks to this successful value chain cooperation with our partners Henkel, KKT and bomo, we are giving plastics a second life and are thus one step closer to the goal of a more circular economy of plastics.”