TIPA, an Israeli biodegradable plastic packaging company has raised $70 million in their latest round of fundraising, their series C. The round was led by Millennium Food-Tech and Meitav Dash who, of the $70M, contributed $30 million alongside other strategic and financial investors.
Ridding the world of plastic
TIPA’s packaging emulates the robust properties of conventional plastic yet is better for the environment. The functionalities of plastic, such as its ability to protect food and other goods remain intact with TIPA’s packaging but can decompose and thus return to nature via composting. You can liken their packaging to an orange peel- it's durable, yet there is no waste left behind.
We encounter plastic packaging in so many ways in our everyday lives. Whether it's how our produce is wrapped, our baked goods covered, or how we receive our newest trendy piece of clothing, we are literally drowning in flexible plastic. This $103 billion industry that TIPA is focusing on changing, makes up for about 70% of ocean plastic and is the most littered plastic-type. With environmentalism becoming the ‘it’ cause to stand behind, more and more consumers are taking note of what their goods are made from, and of course, how they are packaged. TIPA’s biodegradable solution is therefore a gamer changer.
With the newly raised $70 million, TIPA plans to further expand its operations in the different territories where it operates, launch new products lines, and expand into additional markets to continue positioning itself as a global leader, leading the transition to compostable packaging to replace non-recyclable plastic. The money will help them keep up with the increasingly high market demand for compostable packaging, from clients new and old alike.
Canan Schneider, CEO of Millennium Food-Tech was elated by the latest funding round: "Leading a $70 million round of funding for a company with the potential to become a unicorn is a significant milestone in Millennium's journey, and we are very proud of it. TIPA’s huge market potential is already evident, and it’s only growing. We are pleased and proud of our investment in this company and believe that with its unique solutions, TIPA will revolutionize the global packaging market. TIPA's ability to provide compostable packaging solutions which are implemented in the packaging industry without the need for production line adjustments is a clear competitive advantage and a significant factor in TIPA's ability to continue to grow quickly and efficiently. Since our initial investment in TIPA, the company has grown significantly. This growth demonstrates the growth of the entire sector and reflects a significant increase in value for shareholders."
TIPA was founded in 2010 and has since raised $130 million.