Closed Loop Partners announces a multi-million-dollar catalytic loan to Superior Fine Grind (SFG), an independently owned materials recovery facility (MRF) located in Connellsville, Pennsylvania鈥撯�揳pproximately 65 miles southeast of Pittsburgh. The financing was deployed by Closed Loop Partners鈥� Catalytic Capital & Private Credit group, supporting SFG鈥檚 plans to expand recycling services to municipalities and commercial businesses in surrounding rural communities. Proceeds of the loan have been used to finance new equipment and upgrades at SFG鈥檚 MRF, which will allow it to process and sort the increasing amount of post-consumer and post-industrial materials it is receiving. With the installation of new equipment now complete, SFG is positioned to meet the growing demand for recycling services in the communities it serves.
This loan to SFG reinforces Closed Loop Catalytic Capital & Private Credit鈥檚 long-term commitment to supporting private companies and municipalities developing projects that increase recycling capacity and access in the U.S. Founded in 2011, SFG is a MRF operator that is owned by Shawn Pilla, who is also the founder and owner of CAP Glass, one of the largest privately owned glass recycling companies in the United States. SFG processes both residential curbside and drop-off recyclables from several communities in Pennsylvania, including Fayette County, Somerset, Scottdale, South Union Township and North Union Township, as well as communities in West Virginia, such as Morgantown, the home of West Virginia University.
鈥淚nterest in recycling is quickly growing within our surrounding community, and we at Superior Fine Grind are dedicated to meeting that demand, supporting job development and expanding capacity to process the growing volumes of recycled materials at our facility,鈥� said Shawn Pilla, Founder and Owner of Superior Fine Grind. 鈥淩ecycling is a profitable, job creating U.S. industry, and the financing and support from Closed Loop Partners and its extensive network of partners plays a key role in helping us meet our expansion goals.鈥�
Today, the U.S. recycling industry is at a critical point. The industry generates over $5 billion in revenue annually and supports over 600,000 jobs nationwide. As more cities work to meet zero waste goals, global companies demand more recycled material for their production processes to meet sustainability goals, and imported commodity prices increase, the case for investing in regional recycling systems has grown increasingly urgent.
Capital gaps in the credit markets underscore the role of loans with flexible financing terms. Closed Loop Partners has helped bring catalytic capital to the forefront as an important way to finance upgrades and expansions for MRFs, and to support the development of innovative recycling technologies. Closed Loop Catalytic Capital & Private Credit has a 10-year track record of deploying flexible catalytic capital to many leading recycling companies and municipal recycling programs in the U.S., and has played a key role in advancing new recycling technologies and scaling recycling infrastructure, especially in areas that have historically lacked the necessary recycling systems.
鈥淲e are proud to back an independent recycling company that has maintained a strong reputation in the industry for many years. Our catalytic loan to SFG creates opportunities to not only support vertically integrated companies which can create greater efficiencies in our recycling system, but also to expand sortation capacity to advance recycling services in rural communities in the U.S.,鈥� said Ray Hugel, Director of Closed Loop Catalytic Capital & Private Credit. 鈥淲e look forward to supporting more companies like SFG that are scaling recycling systems for all U.S. communities.鈥�