Sustainable packaging firm Pulpex Limited has secured a £62 million ($78 million) Series D investment, led by the National Wealth Fund (NWF) and the Scottish National Investment Bank, to finance the construction of its first commercial-scale manufacturing facility near Glasgow.
The NWF will contribute £43.5 million ($55 million) in direct equity, with the Scottish National Investment Bank investing £10 million ($12.6 million), while the remainder will come from existing investors. The project marks the NWF’s first investment in Scotland since its transformation and is expected to support regional economic growth and the transition to more sustainable packaging solutions.
Pulpex has developed a pioneering fibre-based bottle, free from hidden plastic, manufactured from sustainably sourced wood pulp. Designed for easy recycling within standard household waste streams, the bottles offer a biodegradable and lower-carbon alternative to traditional glass and plastic packaging.
Chancellor of the Exchequer Rachel Reeves described the investment as a crucial step in the government’s economic growth strategy. “Our Plan for Change is about kickstarting economic growth, so working people have more money in their pockets. That’s why we established the National Wealth Fund, which in the last six months has created 8,600 jobs and unlocked £1.6 billion in private investment. This latest investment will generate jobs, drive sustainable growth and create opportunities in Scotland.”
Scottish Secretary Ian Murray emphasised the investment’s role in boosting regional development and the UK’s Net Zero goals. “Glasgow was recently selected as one of four areas where the UK Government will develop investment pipelines. The new Pulpex facility is a prime example of how supporting regional growth can benefit communities across the UK. The firm’s innovative packaging solution will help decarbonise the industry and accelerate the transition to clean power by 2030.”
Deputy First Minister Kate Forbes highlighted Glasgow’s strong history of innovation and the Scottish National Investment Bank’s commitment to supporting green jobs. “To drive investment into Scotland, we have allocated £200 million to the Scottish National Investment Bank for the next financial year. The Bank has already attracted more than £1.4 billion in private sector investment since 2020, and this project will further strengthen Scotland’s position as a leader in sustainable innovation.”
National Wealth Fund CEO John Flint stressed the importance of long-term investment in the circular economy. “We need to recycle more and unlock the potential of the circular economy. Innovations like Pulpex require catalytic investment to scale and commercialise. By financing Pulpex’s Glasgow facility, we are laying the foundations for future private capital investment and sustainable industry growth.”
Pulpex’s Associate Director Scott Winston praised the strong backing from investors and stakeholders. “This investment will drive decarbonisation in the packaging sector through advanced Material Bioscience. With the support of the National Wealth Fund, the Scottish National Investment Bank, and Glasgow’s thriving business ecosystem, Pulpex technology will demonstrate scalability for global adoption.”
Pulpex currently operates an R&D and pilot production facility at its Cambridge headquarters, working with global FMCG giants such as Diageo, Unilever, and Kraft Heinz to develop custom fibre-based packaging solutions.
The planned facility near Glasgow, capable of producing 50 million bottles annually, will establish the UK’s first fibre bottle supply chain and create 35 new jobs.
Lazard and Damus Capital served as financial advisers for the Series D funding round, supporting Pulpex’s vision for sustainable packaging at scale.
