Adidas is investing in Finland’s Spinnova, which makes textile fibre using wood or agricultural waste. The investment is aimed at supporting Adidas’ efforts to increase its use of sustainable materials in its production.
The German sportswear giant will be buying $3.65 million worth of the company’s stock in its initial public offering. This will raise the total amount Spinnova has raised to $70.6 million.
“We are an ideal match with the ambitious and pioneering Adidas sustainability strategy,” Spinnova CEO and co-founder Janne Poranen said.
The company noted that Adidas plans to buy “significant volumes” of its patented fibre in the future.
Spinnova’s partnership with Adidas comes at a time when the company is in the process of expanding its production capabilities. It is opening its first commercial factory in Finland in partnership with wood raw material supplier Suzano. It is also working on building a pilot facility for fibre production out of leather waste with ECCO’s sister company KT Trading.
Aside from its partnership with Spinnova, Adidas is also collaborating with Finnish startup Infinite Fibre to develop a process that can turn used clothes into cotton-like material.
Adidas plans to only use recycled polyester starting 2024.