- Loan Successfully Funded On 24 May 2024 and in Repayment
Recycling plastic waste into building materials in Indonesia
Robries
- Surabaya, East Java, Indonesia
Menu
- 48,500 USD
Loan in repayment
Robries is an experienced waste plastic recycler in Surabaya, Indonesia. Robries is pivoting their business model to become a materials business – rather than also doing product – to increase their impact and commercial sustainability. To make this pivot successfully, Robries needs impact capital to speed up the process. The loan finance will be used to buy machinery, certify and test the new products, and to acquire raw materials and inventory as they grow and scale.
- 9 Lenders
Committed
- 24 months
Loan Period
- 8%
Interest Rate
- BACKGROUND
Loan summary
The Robries team will use this impact loan to shift from small workshop produced pieces, including bespoke products, and pivot into a manufacturing model to supply materials to commercial clients. This pivot will allow them to scale up operations, achieve more commercial success, and grow their impact through greater plastic recycling and repurposing. The capital will be used to stock up on inventory, buy machinery, undertake necessary certification and testing on their materials products, and increase production and sales.
Borrower's mission
Robries measure their impact using the following 3 indicators:
- Environment – Tonnes of plastic waste recycled
- Environment – Tonnes of CO2 avoided
- Social – USD generated for low income workers in community (indirect) engaged in waste picking
Robries has a goal to sell 1 million products by 2030. With this target in mind, the expected impact will be:
- 6,000 tonnes plastic waste recycled
- 120,000 tonnes of CO2 emission avoided
- 500+ people empowered from the plastic waste collection community
Robries aims to secure 0.1% of projected future green building material market in the Asia Pacific, worth around USD 124 million.
The activities funded by this loan are helping to achieve the above Sustainable Development Goals as defined by the UN.
Intermediary's experience with impact enterprises
For the last decade, Red Hat Impact has helped impact enterprises by raising capital and providing other kinds of business and strategy support. We have raised more than $3M from our network of impact investors, and loaned this capital to support over 30 enterprises. We establish close working relationships with all of the impact enterprises we raise debt capital for, working with them closely over the loan term to support their business and manage repayment issues or risks.
- IMPACT
Impacts and how they are measured
This loan will help Robries increase their impact to the end of 2024 as shown below: 1. Plastic recycled (tonnes of material processed) 60 tonnes without the loan 135 tonnes with the loan 2. CO2 emission (tonnes of material processed doubled) 120 tonnes avoided without the loan 270 tonnes with the loan 3. Economic benefit to low income workers (46% from our purchase of plastic waste) USD$46,000 without the loan USD$125k with the loan Impact metrics have been calculated simply from the improvement of sales, which means improvement of plastic waste being recycled.
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