Eureka Recycling receives more than $10M for MRF upgrades

Eureka Recycling, a nonprofit, mission-based independent regional material recovery facility (MRF) operator headquartered in Minneapolis, has received a multimillion-dollar financing round led by Closed Loop Partners’ private credit arm, the Closed Loop Infrastructure Group, alongside American Beverage and The Recycling Partnership.

The loan for more than $10 million from the Closed Loop Infrastructure Group includes $3 million from American Beverage and the Minnesota Beverage Association. Alongside the loan, The Recycling Partnership, Washington, provided a grant.

The funding will be applied toward infrastructure upgrades to enable Eureka Recycling to collect, process and return more valuable materials to supply chains and advance the local circular economy. It will support the installation of additional optical sorters to decrease contamination and increase the quality of recovered materials, including mixed paper and old corrugated containers, polyethylene terephthalate (PET), aluminum, polyethylene and polypropylene.

Once the upgrade is completed in 2025, the new machines are estimated to increase the annual collection of PET and aluminum by 222 and 248 tons, respectively.

Since its founding, Eureka has demonstrated the impact and importance of regional, independent recovery facilities in keeping materials in circulation, processing more than 100,000 tons per year.

“This loan funds key upgrades that bolster our resilience to changes in the recycling material stream and shifts in policy across the U.S.,” says Miriam Holsinger, co-president and chief operations officer of Eureka Recycling. “Building on our long-term commitment to quality material, traceability in markets and support for our local community, this new equipment and technology improves our ability to effectively sort recyclables in Minnesota and also prevents environmental deterioration from resource extraction, reduces landfill disposal and generates economic benefits across the municipalities that we support.”

“We see immense opportunity to support independent recycling operators that are building the necessary infrastructure for a circular economy in the U.S.,” adds Jennifer Louie, managing director and head of the Closed Loop Infrastructure Group at Closed Loop Partners, New York City. “Eureka’s work has consistently aligned with Closed Loop Partners’ broader mission to advance the circular economy since our partnership began with them nearly a decade ago. This is Closed Loop Partners’ fourth loan to Eureka Recycling in nearly a decade, supporting the MRF in maintaining its leading position in the region.

“Closed Loop Partners’ Infrastructure Group, across its Infrastructure, Beverage, Circular Plastics and Local Recycling strategies, will continue to deploy capital into private companies, projects and other recycling-focused nonprofits, such as Eureka Recycling.”

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This is the fourth investment from the public-private partnership formed by Closed Loop Partners’ Infrastructure Group, American Beverage’s Every Bottle Back and The Recycling Partnership. The loans, grants and other investments have strengthened recycling infrastructure nationwide, increasing the volume of quality recycled materials to meet growing demands for a circular economy.

"One of our industry’s highest priorities is circularity for our valuable bottles and cans,” says Kevin Keane, president and CEO of Washington-based American Beverage. “They are made to be remade, and this investment will help make sure more of this valuable material can once again become a new bottle or can. America’s beverage companies are excited to support these important upgrades for the 1 million residents Eureka serves.”

“Delivering on the promise of a circular economy requires that we build a better recycling system, and that’s exactly what our support to Eureka Recycling is delivering,” adds Cody Marshall, chief community strategy officer at The Recycling Partnership, Washington. “By delivering grant funding and forging new partnerships, we are providing critical infrastructure that will increase Minnesota’s 45 percent recycling rate and expand recycling access across the region. That’s good for the people of Minneapolis-St. Paul and for all of us.”