PR94513

ZURICH, Feb. 14, 2022 /PRNewswire=KYODO JBN/--

HUGO BOSS became a front-runner in the race to adopt HeiQ AeoniQ yarns by

putting a US$5M equity investment in HeiQ AeoniQ LLC and additional contingent

US$4M based on performance milestone arrangements. The LYCRA Company has also

become the exclusive distributor for HeiQ AeoniQ yarn by making a significant,

undisclosed investment and by committing to develop the technology for broad

application in textiles.

As part of its 'CLAIM 5' growth strategy, HUGO BOSS (MDAX: BOSS) – one of the

leading companies in the global premium apparel market – executed its first

sustainability-linked investment for a US$5M shareholding in HeiQ AeoniQ LLC, a

fully owned subsidiary of London listed HeiQ Plc (LSE: HEIQ). HUGO BOSS is the

first company that has joined the race to adopt HeiQ AeoniQ and to have secured

its stake in HeiQ AeoniQ equity. The investment is supplemented by an

additional US$4M arrangement, which is subject to the achievement of agreed

goals. The strategic partnership will help HUGO BOSS meet its ambitious

sustainability targets which include the aim for climate neutrality within its

own area of responsibility by 2030, and throughout the entire value chain by

2045. In addition, the company puts particular emphasis on establishing an

end-to-end circular business model. The investment therefore perfectly fits in

with HUGO BOSS' goal to strongly increase the proportion of more sustainable

materials over the coming years. Over the mid to long term, HUGO BOSS is

focused on the potential to materially complement and substitute the currently

used polyester and nylon fibers with the cellulosic HeiQ AeoniQ fibers.

"Our exciting partnership with HeiQ on HeiQ AeoniQ represents yet another

important milestone on our journey towards becoming the leading premium

tech-driven fashion platform worldwide. Consistent with our bold mission

statement 'We Love Fashion, We Change Fashion', this game-changing

collaboration with HeiQ enables us to further push innovation and

sustainability across our brands' offerings, thereby driving measurable impact

for environment and society alike," says Daniel Grieder, CEO of HUGO BOSS.

Prior to HUGO BOSS' equity investment, The LYCRA Company agreed to be the

exclusive distributor for HeiQ AeoniQ yarn through payment of a

milestone-driven technology fee and a commitment to leverage its deep textiles

knowledge and market channel access to prepare this new technology for broad

use in apparel applications.

"Sustainability continues to be a core tenet of The LYCRA Company's strategy as

we are focused on providing value-added technologies to help our customers

create and develop exceptional fabric and garment offerings while reducing the

environmental footprint, without sacrificing comfort or performance," said

Julien Born, CEO at The LYCRA Company. "Through our close collaboration with

HeiQ, we are working together to fast-track the commercialization of HeiQ's

AeoniQ yarn and are excited by the impact this ground-breaking innovation will

have on the apparel industry."

"The financial commitments by such prestigious companies as HUGO BOSS and The

LYCRA Company are strong endorsements of HeiQ AeoniQ's game-changing potential.

This also demonstrates our ability to commercialize our HeiQ AeoniQ IP, now

valued at US$200M. HeiQ AeoniQ yarn is a versatile alternative to polyester and

nylon and its climate positive qualities create a very exciting market

opportunity for HeiQ, as fashion brands and retailers come under increasing

pressure to do their part in decarbonizing their products and reduce their

environmental footprints," says Carlo Centonze, co-founder & Group CEO of HeiQ.

The primary use of the raised proceeds would be to scale up and commercialize

this disruptive technology. In this context, HeiQ AeoniQ LLC will build its

first commercial giga factory in Central Europe by end of 2024, and is

currently scaling-up its pilot commercialization plant for fiber production,

scheduled for Q2 2022.

HeiQ AeoniQ cellulosic yarn made of climate positive raw materials

HeiQ AeoniQ (Aeon: striving for eternal circularity) – a continuous cellulosic

filament yarn with the potential to compete with polyester and nylon fibers –

constitutes a revolutionary, first-to-market and scalable proprietary apparel

technology, which will allow the manufacturing of a sustainable, cellulosic

yarn designed for circularity and closed-loop recycling that could ultimately

substitute oil-based fibers.

HeiQ AeoniQ yarns are made out of cellulosic biopolymers that during growth

bind carbon from the atmosphere. HeiQ AeoniQ yarn is designed to substitute

existing oil-based filament yarns, such as environmentally persistent polyester

and nylon, which constitute over 60% of global annual textile output of 111 M

metric tons. The global polyester and nylon fiber market is worth an estimated

US$135 billion USD with a CAGR of greater than 3.5% over the next decade

(Statista). For every ton of polyester & nylon substituted by HeiQ AeoniQ,

potentially up to 5 tons of CO2 can be reduced.

When compared to conventional polyester, nylon, cotton and conventional

regenerated cellulosic products, the production of HeiQ AeoniQ yarns has the

potential to transform the environmental impact of fiber production, as it is

designed to be circular, uses 100% renewable energy for manufacturing, features

a closed-loop recycling of more than 99.5% of productive factors, uses no toxic

chemicals, and does not draw on arable land, pesticides or fertilizers for its

feedstock.

About HeiQ

Founded in 2005 as a spin-off from the Swiss Federal Institute of Technology

Zurich (ETH) and listed on the London Stock Exchange Main Market (LSE: HEIQ),

HeiQ is a disruptive innovator with a strong IP portfolio. A leader in textile

and materials innovation, HeiQ has created some of the most effective, durable

and high-performance technologies on the market today. HeiQ strives to improve

the lives of billions of people through pioneering textiles and materials

innovation. Combining three areas of expertise – scientific research, specialty

materials manufacturing and consumer ingredient branding – HeiQ is the ideal

innovation partner to create differentiating and sustainable products and

capture the added value at the point of sale. With its 14 offices, 7

manufacturing sites and 7 R&D hubs, HeiQ today employs 240 professionals. It

has a total capacity of 45,000 tons of specialty chemicals per year and serves

over 1,000 industrial customers in over 60 countries. Today, HeiQ's consumer

goods and medical devices can be found in 56 countries. For more information,

visit: www.heiq.com

Photo -  

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CONTACTS:

HeiQ Materials AG

Ruetistrasse 12

8952 Schlieren (Zurich)

Switzerland

www.heiq.com  

info@heiq.com  

+41-56-250-68-50

Media contact for interview or high-res image:

Loraine Stantzos

VP Marketing Communications

loraine.stantzos@heiq.com  

+41-56-250-68-50

Source: HeiQ Materials AG