H&M Group has become an investor in the Indian company AltMat (Alternative Materials), which specialises in turning agricultural waste into textile products using a technology that combines technical and chemical processes. With this commitment, the Swedish group- owner of H&M, COS, Weekday and Arket- aims to bolster its sustainability credentials.

AltMat was founded in 2017 by Gujarati entrepreneur Shikha Shah. Its mission is to transform agricultural waste, such as hemp stalks, into textile resources, including yarns, fibres, and fabrics. The company uses technology that combines mechanical, chemical and enzymatic processes to produce Altag, a natural, industrial-grade fibre. The resulting materials can be used in home décor, clothing and accessories, or to produce paper.

Objective: advancing R&D

The company recently announced that it had raised funds from several investors. H&M Group’s investment joins those from Rainmatter by Zerodha, Turbostart, and Fashion for Good, AltMat announced. The funds will be used to strengthen the company’s relationships with farmers and to advance its research and development.

“This funding round proudly marks several firsts: H&M Group’s first-ever investment in next-generation innovation in India, and Rainmatter by Zerodha’s first investment in textile materials. The four investors represent the ideal combination of patient capital for sustainable deep-tech innovation, sector expertise, entrepreneurial strength and an understanding of the challenges of sustainable growth,” wrote the business on LinkedIn.

“H&M Group is very proud to announce its latest investment, its first in the textile sector in India: AltMat,” wrote Laura Coppen, investment director at H&M Group New Growth & Ventures. “AltMat is a very promising material that uses agricultural residues to make a fibre similar to linen and cotton, for fashion and the home.” This investment follows the Group’s renewal of its partnership with Circulose, a Swedish textile fibre recycling company, last June.