May 18, 2025 -As global demands for environmental conservation and sustainable development intensify, the textile industry—a traditional high-carbon emitter—faces unprecedented pressure to embrace green transformation. Recently, Syre, a startup co-founded by H&M Group and impact investor Vargas, has emerged as a beacon of hope, securing $100 million in Series A funding for its groundbreaking textile-to-textile recycling technology. This infusion of capital is poised to inject fresh momentum into the textile industry’s quest for sustainability.
From its inception, Syre has dedicated itself to revolutionizing textile recycling, aiming to liberate the industry from its reliance on crude oil-based supply chains through large-scale polyester recycling. Against the backdrop of textile industry emissions contributing 10% to global CO₂ output, Syre’s mission to disrupt the status quo—where recycled textiles account for less than 1% of global production—could not be timelier.
Led by TPG Rise Climate, Syre’s Series A funding round attracted a consortium of high-profile investors, including H&M Group, Volvo, and the IMAS Foundation. These funds will primarily fuel Syre’s production scale-up, technological innovation, and global expansion. Notably, H&M Group has not only invested but also committed to a long-term offtake agreement, pledging to source substantial volumes of recycled polyester from Syre over the next seven years. This partnership provides Syre with a robust market foundation for future growth.
At the heart of Syre’s competitive edge lies its proprietary chemical depolymerization technology. By integrating North Carolina-based Premirr, Syre can break down polyester waste into BHET monomers, which are then repolymerized into high-quality PET. This process not only enables circular utilization of discarded textiles but also produces PET that matches the quality and performance of virgin polyester. This breakthrough means that polyester garments of the future could be entirely crafted from recycled materials without compromising on quality.
Fueled by both capital and technological prowess, Syre’s global expansion is underway. Its first manufacturing facility in North Carolina is nearing completion, slated for commissioning later this year with an annual capacity of 10,000 tons. Subsequent plans include constructing two mega-factories in Vietnam and the Iberian Peninsula, each with a potential annual output of up to 250,000 tons. By 2032, Syre aims to operate 10 to 12 facilities across North America, Europe, and Asia, spearheading the textile industry’s green transition.
Syre’s successful fundraising and expansion blueprint set a new benchmark for sustainable textile innovation. With the backing of industry giants like H&M, Syre’s revolutionary technology is poised for widespread adoption, steering the textile sector toward a greener, more sustainable future.