Energy Transition & Sustainability

Bryan, Garnier & Co acts as Joint Global Coordinator & Joint Bookrunner on Carbios’ EUR 141m Rights Issue

Carbios is a French green chemistry company dedicated to the development of industrial bioprocesses for the bio-recycling and biodegradation of plastic polymers.

Carbios has developed a unique enzymatic process for polymer degradation, which allows for broad applications, including infinite bio-recycling (PET) as well as biodegradation (PLA).

PET stands for Polyethylene terephthalate, a common type of plastic used in bottles, trays, and textiles. PLA, in turn stands for Polylactic acid, a biodegradable and compostable polymer derived from renewable resources like cornstarch or sugarcane – an alternative to traditional petroleum-based plastics.

Carbios’ mission is to provide an industrial solution to the recycling of PET plastics and textiles.

The company is now in the manufacturing engineering phase of its PET enzymatic recycling technology. Following the successful launch of an industrial demonstrator in Clermont-Ferrand in September 2021, the company is planning, in partnership with Indorama Ventures, to begin construction by the end of the year of the world’s first PET enzymatic recycling plant, based in Longlaville.

Carbios has signed an agreement with Novozymes, ensuring enzyme supply for the company’s unique recycling technology at industrial scale for future Longlaville operations and all future licensee plants.

Carbios is listed on Euronext Growth Paris.

Bryan, Garnier & Co acts as Joint Global Coordinator & Joint Bookrunner on Carbios €141m rights issue, the largest capital increase with public offer on Euronext Growth since 2015.

Building momentum on the heels of compelling news coverage (worldwide supply agreement with Novozymes, partnership with Indorama Ventures) and support from historical strategic shareholders (Michelin, L’Oréal, L’Occitane, Copernicus & Truffle Capital), Carbios launched the rights issue on 22 June 2023.

The subscription price was set at €25.32 per share representing a 29% discount to the TERP value of €35.67, which was based on the closing price of €40.10 on 20 June 2023.

The capital increase was subject to total demand of approximately €173m, i.e. a subscription rate of 141.2% (91% on an irreducible basis.) This enabled the full exercise of the extension clause leading to gross proceeds of €141m.

Proceeds will partly finance the €230m construction cost of a PET recycling plant and fund further R&D.

This is the fourth consecutive capital raise Bryan Garnier has led for Carbios after €14.5m, €37m and €114m follow-on offerings in 2019, 2020 & 2021.

Emmanuel Ladent photo

"We are thrilled to have successfully achieved our fundraising target enabling us to build and operate the world's first PET biorecycling plant and extend the benefits of our technology to all types of plastics. As our trusted advisor, Bryan Garnier's team expertise, efforts, and guidance throughout the process have been instrumental."

— Emmanuel Ladent - CEO of Carbios

Carbios is a biotech company developing and industrializing biological solutions to reinvent the life cycle of plastic and textiles. Inspired by nature, Carbios develops enzyme-based processes to break down plastic with a mission to avoid plastic and textile pollution, and accelerate the transition to a circular economy. Its two disruptive technologies for the biorecycling of PET and the biodegradation of PLA are reaching industrial and commercial scale. Its biorecycling demonstration plant has been operational since 2021 and the first biorecycling plant in the world, in partnership with Indorama Ventures, is due to be commissioned in 2025. Carbios has received scientific recognition, notably with the cover of Nature, and is supported by prestigious brands in the cosmetics, Food & Beverage and apparel industries to enhance their products’ recyclability and circularity. Nestlé Waters, PepsiCo and Suntory Beverage & Food Europe are members of a packaging consortium founded by Carbios and L’Oréal. On, Patagonia, PUMA, PVH Corp. and Salomon collaborate with Carbios in a textile consortium.