Info on their homepage-
We make fashion circular
Our recycling technology breaks down used cotton and other cellulose-rich textiles and transforms them into a new, biodegradable raw material: Circulose® pulp. Our customers use it to make biodegradable virgin quality viscose or lyocell textile fibers.
I have been following Renewcell right from the seed phase. I was always curious and interested to see their journey, in bringing the circularity to the fashion industry. And with Renewcell technology, there is a possibility to reach such goals, in near future.
As the IPO came closer, I saw that being a small retail investor, I could not make huge bets, like other deep pocketed financial institutions do. So I did not buy a lot of shares during IPO, and as we know from history that most of the new IPO companies share price come down after 6 months to 1 year time frame, so I sold my shares. Due to the current market situation and the capital need to build factories, Renewcell might need huge investments, in order to reach certain profitability. Recently they had issues with meeting the sales ramp up effecting the 2023 financials, so the share price has dropped around 75% (currently at 13 SEK). This is a very attractive share price (way under IPO offering), which is making me to think on investing. However, the company might need more time and investments, before it could show healthy growth with profitability.
What you guys think about Renewcell?
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