Sectors / Waste-to-X & Circular
Abundant Feedstock, Strong Tailwinds, and Almost No Project Finance.
Advanced recycling and waste-to-value projects have everything except a revenue model conventional lenders can underwrite. We restructure that model into something bankable.
The Financing Reality
A two-sided revenue model that moves against you on both sides at once.
Advanced recycling and waste-to-value operators — plastics pyrolysis, e-waste refining, battery black-mass processing, organics-to-product — have a revenue structure conventional project finance handles poorly. They earn on both sides: a tipping fee to accept waste, and a sale price for the recovered output. The trouble is those sides are correlated. When commodity prices fall, output revenue drops — and demand for the recycling service often falls with it, as waste contracts shift back to landfill. Both revenue streams weaken together, which makes a lender’s stress case far more severe than for a single-commodity project. Add commercial scale-up risk on top, and conventional debt walks.
Our Role
How we help.
Revenue structuring that puts floors under both the tipping fee and the recovered-commodity price, breaking the correlation that scares lenders. Technology-performance protection for the scale-up from pilot to commercial facility, where these projects most often stumble. Offtake structuring that turns emerging recycled-content mandates and corporate commitments into bankable contracts. And capital-stack design with tax-credit monetization — including advanced-manufacturing production credits where they apply — plus access to the ESG-mandated capital that actively seeks circular-economy exposure.
Solutions for This Sector
Which capabilities apply.
All three: Offtake & Revenue Structuring (the two-sided model), Technology & Performance Risk (scale-up), and Capital & Tax Credits (stack + ESG capital).
A Recent Structure
Making an advanced-recycling facility bankable.
An advanced plastics-recycling operator’s two-sided revenue — a tipping fee to accept feedstock plus a sale price for recovered output — produced a correlated downside no senior lender would accept, since both revenue streams weaken together when commodity prices fall. Combined with commercial scale-up risk, conventional debt was unavailable.
We placed floors under both the tipping-fee and the recovered-commodity revenue to break the correlation, wrapped the scale-up performance risk, and structured the offtake around emerging recycled-content commitments from consumer-brand buyers.
With the correlated downside bounded, the project became underwritable as conventional-style infrastructure debt and attracted ESG-mandated capital actively seeking circular-economy exposure.
Have a circular-economy project that can’t find conventional debt?
The revenue model can be restructured into something bankable. Let’s build it.