H&M Partners With Recycling Firm That Failed in Prior Life

Hennes & Mauritz AB has struck a multi-year partnership with a textile waste re-cycler that emerged from the bankrupt estate of Renewcell AB — a company in which the Swedish clothing retailer was one of the largest shareholders.

H&M said it would “source significant volumes” of recycled material from Circulose AB, according to a statement on Friday. Replacing so-called virgin viscose with the material will help the retailer meet its 2030 goal of using only recycled or sustainably sourced material for its clothes, it said.

Last year saw private equity firm Altor Equity Partners AB acquire the assets of bankrupt ...