TOMRA has acquired 80% of the shares in German digital waste management solution company c-trace, hoping to add new digitalization capabilities across its recycling value chain.
c-trace provides solutions combining software and hardware modules to digitize and improve waste management operations. TOMRA states that as municipalities and industries increasingly seek to reduce inefficiencies and comply with stricter environmental regulations, demand for these solutions is rising. It adds that c-trace’s focus on AI driven capabilities has generated market interest and is opening new market opportunities in the segment.
TOMRA will initially acquire 80% of the shares in c-trace, with an option to acquire the remaining 20% (held by the founders) after 2 years. The acquisition is expected to be ‘immediately accretive and generate strong capital returns’ to TOMRA. The addition of c-trace is said to support TOMRA’s goal of driving additional profitable growth and diversifying its revenue streams while broadening its market impact.
According to TOMRA, c-trace employs around 120 people and generates 80% of its sales in Germany, showing annual growth of more than 15% over the last few years. The company’s revenues in the last twelve months amounted to EUR 21million with 23% EBIT margin (adjusted).
“Combining TOMRA’s solutions and customer base with c-trace, we can drive innovation and unlock new market opportunities. Over the next few years, our priority will be to expand c-trace’s international presence by utilizing TOMRA’s global footprint. Ultimately, our common ambition is to increase collection and recycling rates – turning more waste into valuable resources – by shaping tomorrow’s recycling infrastructure,” says Tove Andersen, president and CEO of TOMRA.
TOMRA is currently working with NEXTLOOPP on a project utilizing artificial intelligence technology to make critical recycling processes more efficient. In October, Professor Edward Kosior, founder of Nextek and NEXTLOOPP, explained the details of the project in an article including trialling the separation of food from non-food packaging through UV markers.
Earlier this month we spoke with Ulrikke Lien, co-founder and CEO of startup Sensorita, to find out more about its intelligent, data-driven sensors for measuring waste levels in open skips and large containers. By providing real-time data on location, fill levels, and waste quality, the solution aims to reduce contamination and make collection more efficient during the recycling process.
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