In a strategic move towards sustainability, H&M Group has recently invested in the Indian startup AltMat (Alternative Materials). This innovative company specializes in converting agricultural waste into high-quality textile products through a combination of technical and chemical processes. As the parent organization of popular brands like H&M, COS, Weekday, and Arket, this investment demonstrates H&M’s commitment to enhancing its ecological footprint.
Founded in 2017 by entrepreneur Shikha Shah from Gujarat, AltMat aims to repurpose agricultural materials, such as hemp stalks, into valuable textile resources like yarns, fibers, and fabrics. Utilizing a unique blend of mechanical, chemical, and enzymatic techniques, AltMat produces Altag, an industrial-grade fiber that is both natural and versatile. The resulting products are ideal for a variety of applications, including home décor, clothing, and even paper production.
Objective: advancing R&D
AltMat recently announced successful fundraising efforts, attracting investment from several notable entities. Alongside H&M Group, the company secured funding from Rainmatter by Zerodha, Turbostart, and Fashion for Good. These funds are intended to strengthen ties with local farmers and further advance research and development initiatives.
“This funding round marks multiple milestones, including H&M Group’s inaugural investment in next-generation innovation in India, and Rainmatter by Zerodha’s first venture into textile materials. The synergy of these four investors creates a robust coalition, providing sustainable deep-tech innovation, sector-specific expertise, entrepreneurial strength, and an understanding of the intricacies surrounding sustainable growth,” AltMat expressed in a LinkedIn post.
“H&M Group is thrilled to announce its latest investment, marking its first foray into the Indian textile sector with AltMat,” stated Laura Coppen, Investment Director at H&M Group New Growth & Ventures. “AltMat presents a promising future for fashion and home textiles by utilizing agricultural residues to craft fibers akin to linen and cotton.” This strategic investment comes on the heels of the Group’s renewed partnership with Circulose, a Swedish company specializing in textile recycling, which was confirmed last June.
