NEXE Has Successfully Met the Testing Requirements for BPI Certification
The NEXE fully compostable, single-use pod will offer the market an environmentally friendly
alternative to the over 80 billion plastic and aluminum pod market
VANCOUVER, BC, June 29, 2023 /CNW/ - NEXE Innovations Inc. ("NEXE" or the "Company") (TSXV: NEXE) (Frankfurt: NX5) (OTC: NEXNF), a compostable and innovative materials company, is pleased to announce that the Biodegradable Products Institute (BPI) has completed its verification process and has confirmed that the NEXE fully compostable, single-use beverage pod and its associated components meet the stringent compostable requirements set out by the BPI Institute.
"We believe that the BPI Certification, combined with the study done with the University of British Columbia and an independent commercial compost study that was completed at the Surrey Biofuel Facility, the first closed-loop organic waste facility in North America, will provide the industry with confidence that NEXE's compostable products are the ideal green solution to the plastic waste plaguing our environment", stated Ash Guglani President of NEXE Innovations, "NEXE understands that it is one of the only companies that completed an industrial composting study prior to applying for the BPI Certification".
The NEXE fully compostable, single-use beverage pod has several key competitive features protected by patents, including an innovative technology that allows for more volume per pod while delivering what the Company believes is an unrivaled "pour-over" coffee experience. With these distinct advantages, NEXE believes it sets itself apart from the competition and establishes itself as the go-to choice for premium coffee brands seeking a sustainable solution.
NEXE believes this innovative solution represents a significant milestone for the industry. Replacing single-use plastic and aluminum pods with fully compostable materials has been a daunting challenge, considering the stringent requirements of water resistance, pressure endurance, and heat resilience. NEXE believes by conquering this complexity, it has acquired invaluable insights that will empower the Company to swiftly develop and introduce new, groundbreaking products to the market.
"NEXE has gone through a significant transition. We have improved the performance of the single-use pod, which can go head-to-head with the plastic alternative, and have brought our manufacturing capabilities in-house," stated Ash Guglani, President of NEXE Innovations, "NEXE's goal is to provide a fully compostable, single-use pod option to customers without compromising on performance and price."
NEXE's primary focus is the co-manufacturing and private label market segments. The BPI certification is expected to provide NEXE's customers with the ability to differentiate their products as environmentally friendly to their end customers. It is also expected to allow NEXE's customers to comply with an increasingly restrictive regulatory environment and the ability to demonstrate their commitment to reducing waste.
In 2022, the single-use plastic and aluminum pods market was estimated to be 80+ billion. Compostable single-use pods were only ~4% of the total estimated market1, an estimated increase of over 3X from 20202. This translates to ~3.5 billion compostable pods. NEXE believes that alongside the competitive features of the NEXE Pod, the in-house manufacturing capacity of ~500 million pods at its facility in Windsor, Ontario will provide NEXE with a strong market position in a fragmented space.
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1 Single Serve Capsules - Global Market Overview 2022 - AMI |
2 Coffee Barometer 2020. Ethos agriculture. |
BPI (https://bpiworld.org/) is a leading North American authority on compostable products and packaging. The BPI Certification program is a third-party verification of ASTM standards for compostable products and is intended to protect consumers against false claims and greenwashing. To meet the requirements of the BPI Certification, the product must meet the requirements of the ASTM D6400 or ASTM D6868 standards for compostability. The key requirements are proper disintegration without leaving harmful toxins or substances, biodegrade in an industrial composting facility, and the resulting compost or soil amendment should be able to support healthy plant growth. The BPI certificate also requires products to be PFAS-free.
Composting helps reduce greenhouse gases (GHG) and is one of the solutions that NEXE believes will help the world transition to a greener economy. Composting is expected to reduce landfill emissions by diverting organic materials that produce methane to a more natural process where the waste can be processed into a nutritional soil amendment. The soil amendment resulting from composting is also expected to help with drought and soil erosion and reduce the need for chemical fertilizers.
*NEXE Innovations Inc. is not affiliated with, endorsed, or sponsored by Keurig®. Keurig® is a registered trademark of Keurig Dr Pepper Inc.
**NEXE Innovations Inc. is not affiliated with, endorsed, or sponsored by Nespresso®. Nespresso® is a registered trademark of Société des Produits Nestlé S.A.
NEXE Innovations Inc. is a leader in innovative compostable materials technology based in British Columbia, Canada. The first product developed by NEXE Innovations is one of the only patented, fully-compostable, single-serve coffee pods for use in existing major single-serve coffee machines.
For more information about NEXE Innovations' compostable materials and how it is well-positioned to meet the growing demand for environmentally friendly and sustainable products, visit www.nexeinnovations.com and follow us on social media @nexeinnovations.
On behalf of the Company:
Ash Guglani
President & Director
For investor relations contact:
Kam Mangat
VP, Investor Relations & Corporate Strategy
[email protected]
Office +1-604-359-4725
Mobile +1-604-359-4742
For media relations contact: [email protected]
Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Certain statements in this release are forward-looking statements or information, which include, but are not limited to, statements in respect of timing or completion of validation process and discussions with potential clients; services the Company intends to offer and the Company's overall business strategy. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future. Such information can generally be identified by the use of forwarding-looking wording such as "may", "expect", "estimate", "anticipate", "intend", "believe" and "continue" or the negative thereof or similar variations. The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Company, including but not limited to, the Company's ability to execute on its business strategy and those risks set out in the Company's management's discussion and analysis for the three and nine months ended February 28, 2023, under the heading "Risk and Uncertainties". Such statements and information are based on numerous assumptions regarding present and future business strategies and the environment in which the Company will operate in the future, including the demand for its products, anticipated costs, and the ability to achieve goals. Factors that could cause the actual results to differ materially from those in forward-looking statements include, receipt of necessary approvals and general economic, market or business conditions. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement. The reader is cautioned not to place undue reliance on any forward-looking information.
The forward-looking statements contained in this news release are made as of the date of this news release. Except as required by law, the Company disclaims any intention and assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
SOURCE Nexe Innovations Inc.
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