Oxford Innovation EIS Growth Fund has made a follow-on investment in the latest funding round for Interpac, who offer a sustainable and low-cost solution to the production of corrugated board.
With a surge in online retailing and a global shift towards eco-friendly paper-based packaging instead of plastics, demand for corrugated board is maintaining an annual growth rate of over 4%. Interpac's innovative corrugator sets itself apart from conventional machines by eliminating steam from the process and adopting cold corrugation manufacturing. This revolutionary technology not only reduces CO2 emissions by over 130 metric tonnes per machine per year, but also results in significantly less energy intensive and more cost-effective machines. These advancements enable end-users to produce their own corrugated board in-house, whenever it is needed and in the true quantities required, significantly reducing waste and transportation costs along the supply chain.
This latest fundraise of over £1 million provides the necessary working capital for Interpac to continue development and manufacturing of its 'cold corrugator’ and meet the growing demand for environmentally friendly corrugated cardboard and sustainable packaging solutions.
Charles Smith, Co-founder and MD at Interpac said: “Despite appearances, corrugated board is not easy to make and over the last 50 years there has been little to no innovation in the manufacturing process. With the majority of global goods now being bought online and demand for sustainable packaging increasing, it was time for a revolutionary solution to the current energy and water intensive manufacturing processes. Our cold corrugation process uses 80% less energy, is one tenth of the price, and allows for decentralised, on-demand production that reduces manufacturing costs by up to 30%. This recent investment will allow us to continue the manufacture of our innovative machines and enable more customers to harness the benefits of self-manufacturing their corrugated board more sustainably.”
Richard Cooper, Managing Director at Oxford Innovation Finance, commented: “As the global market for corrugated board continues to increase and manufacturing companies around the world are actively working to reduce their carbon footprint, Interpac’s cold corrugator offers a sustainable solution. As the first machine of its kind, Interpac is disrupting an inefficient and uneconomical industry with a unique and innovative product. Following our investment in the first funding round in March 2022, we have seen the company achieve a number of its production milestones and we look forward to continuing our support of Interpac on their growth journey.”
Published: December 2023.