Billerud, a leading European sustainable packaging solutions provider, has acquired Tenova Bioplastics AB, a Swedish innovation company based in Norrköping that produces compostable carrier bags made of bioplastic. Tenova has sales turnover of SEK 35 mln (approx. US$4 mln) and is a market leader in production of bioplastic-based compostable bags. "Bioplastic will be a good complement to paper for renewable packaging, and in the long term the combination of paper with barriers made of bioplastic will be a highly attractive alternative for many different types of packaging. The acquisition strengthens our product offer in the consumer sector, which is less sensitive to the economic cycle," says Per Lindberg, CEO of Billerud.
At present, bioplastic is primarily made of polylactic acid (PLA) or starch mixed with compostable polyesters. The material is biologically degradable and compostable and when burnt it generates less CO2 over its lifecycle than oil-based plastic. Tenova's products include carrier bags, waste and compost bags, and can be used as a barrier in packaging for food and hygiene items, for example. A barrier made of bioplastic can replace plastic or aluminium barriers in many applications, resulting in a lower environmental impact.