PaperFoam secures US$2.35M loan to expand packaging manufacturing

NETHERLANDS – Dutch packaging maker PaperFoam has secured a €2 million (US$2.35 million) loan from Invest International in to finance international production growth and bolster operational funding across its global sites.

Proceeds from the loan will finance capital expenditure at the Barneveld-headquartered company’s production facility in the Czech Republic. 

Alongside the European site expansion, the funding will support working capital requirements at PaperFoam plants located in the United States and Malaysia. 

The project relies on domestic processing equipment, with Dutch industrial equipment suppliers Kuyer Metaal of Nijkerk and Shuffle-Mix of Barneveld providing the required manufacturing machinery.

Material Substitutes Starch and Fibre for Plastic Packaging

PaperFoam manufactures its material as a substitute for standard paper and plastic packaging, using natural raw materials alongside patented foaming technology to yield lightweight, low-carbon containers. 

Formulated from starch and natural fibres, the resulting medium is fully compostable, with recovered fibres capable of re-entering conventional paper recycling systems. 

The supplier targets commercial brands seeking lower-emission packaging that satisfies baseline functional, aesthetic and structural criteria, positioning the material for protective inserts, trays and moulded formats used in consumer electronics, cosmetics and medical device packaging.

Client Base Spans Medical Technology and Retail

The manufacturer serves several commercial sectors, supplying multinational clients including medical technology company Medtronic, cosmetics business Puig and Dutch retailer HEMA, which uses the substrate for colourful Kies and Mix Easter egg packaging.

Packaging formats for these sectors require protective cushioning, precise dimensional tolerances and print compatibility, demanding that moulded fibre alternatives match the performance of expanded polystyrene and thermoformed plastic inserts.

Leadership Cites Long-Term Growth Strategy

Willem Derkman, chief executive officer of PaperFoam, said developing an innovative and sustainable alternative to traditional packaging required time, investment and partners willing to look further ahead. 

He added that ongoing support from Invest International had enabled important steps in the company’s international growth, noting that the funding helped expand production capacity and efficiently serve new markets and clients. 

Jeroen Plag, chief investment officer at Invest International, said PaperFoam was a great example of a Dutch innovator that had travelled a difficult path from promising technology to an internationally scalable company, adding that Invest International’s involvement dated back to 2020 when it supported the company’s first expansion into the Czech Republic. 

The investment reflects continued public financing support for packaging materials designed to replace fossil-based formats.

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