Investment & Fund Management

Moda re- is a cooperative in Spain that specializes in textile recycling, initially established as an NGO by Caritas. The organization has evolved into a self-sufficient social business, coordinating 49 social integration projects across the country. The company collects used clothing, processes it using advanced technology such as infrared sensors for textile composition identification, and manages the largest network of second-hand clothing shops in Spain. Approximately half of the collected clothing is reusable, with a portion sold in their shops and the remainder exported to Africa. The rest is recycled, significantly reducing water usage, carbon emissions, and the need for pesticides.

The social impact of Moda re- is profound, as it employs individuals from vulnerable backgrounds, including immigrants, abused women, and ex-convicts. The company provides training over 18 months, equipping employees with both technical and life skills, which has led to over 60% of workers successfully transitioning to other jobs. This approach not only enhances their employability but also supports their integration into society.

Recently, Moda re- sought a loan from Impact Bridge, a private credit fund backed by the EIF through the InvestEU programme, to finance a new treatment plant in Sabadell, near Barcelona. This facility will double their processing capacity and create over 80 new jobs. The company plans to expand further with additional factories in Madrid and Galicia, reflecting a significant shift in recycling attitudes and an increasing demand for textile recycling driven by EU regulations.