Renewcell, a Swedish startup that recycles textile waste, had its remaining assets acquired Swedish private equity firm Altor. The company will continue operations under the "Circulose" moniker, which is the name of its dissolving pulp product.

Renewcell’s former COO, Magnus Lundmark, will take on the role of CEO of the new entity. The company reports that its Sundsvall facility will remain idle until the company sees its order book fill up. However, Circulose claims that its current stock of Circulose pulp and fiber is sufficient to meet market demand conditions and leverage its existing supplier network.

Analyst QuickTake: The acquisition adds to Altor’s diversified portfolio of investments while resolving the uncertainty surrounding Renewcell’s fate following the company's filing for bankruptcy in February 2024. Renewcell’s pilot plant was acquired by Swedish firm Biosorbe in May 2024. Renewcell’s bankruptcy also sparked a fresh dialogue around circularity within the fashion industry, and Circulose may find the industry more receptive to decarbonizing its supply chain.