US-based chemical producer Dow has agreed to acquire Oklahoma-based flexible plastics recycler Circulus, part of Dow's efforts to expand its recycled polymer offerings.
Circulus has mechanical recycling facilities in Ardmore, Oklahoma, and Arab, Alabama, with a combined input capacity of 50,000 metric tons/yr (110mn lb/yr) of flexible polyethylene.
The deal is expected to close in the third quarter, Dow said. Financial details were not disclosed.
The acquisition marks Dow's first purchase of a recycling facility as the company seeks to produce 3mn t/yr of circular and renewable plastic by 2030. Dow said the purchase of Circulus will help enhance its offerings in applications such as shrink packaging, stretch film, and food packaging.
Dow has previously been active in recycled polymers markets, partnering with WM in 2022 to collect residential film in a pilot program, and partnering with Closed Loop Partners to create a circular plastics fund.
