Ukrainian Releaf Paper to secure €8M, half of which will be provided by the EU Commission
Kyiv-based manufacturer of sustainable paper products made by fallen leaves Releaf Paper plans to secure another €8 million, and €4 million are guaranteed investments from the EU, Oleksandr Sobolenko, co-founder of the startup, informed AIN.Capital.
About Releaf Paper
- Founded in 2020 by Oleksandr Sobolenko and Valentin Frechka, Releaf Paper production took place first in Zhytomyr and then in Lutsk. The company works on making paper from fallen leaves.
- Releaf Paper claims that every ton of leaf paper produced saves 17 trees from being cut down. The pilot sale of paper used as packaging and paper bags began in September 2021 at the first test plant in Ukraine with a capacity of 5,000 tons per year.
“Our target markets right now are all European markets and as for consumers, they are all companies that need to use paper packaging in their business, doesn’t matter big, middle, or small,”Oleksandr Sobolenko, co-founder of the startup, said.
- In 2022, the startup produced 150 tons of paper, launched sales in Europe and received €165,000 in revenue. Among its clients are L’Oreal, Schneider Electric, Samsung, NYX.
Details of the agreement
- In December 2022, the startup attracted a grant of €2.5 million within EIC’s accelerator program. Another €4 million are guaranteed investments from the European Commission.
- An additional €4 million, the team will look for a lead investor, but according to Sobolenko, there is no rush in this matter. €8 million will go to the construction of two new small factories or one large one in other countries.