Singapore's Vending Machines International this week announced a SGD 135 million capital commitment from GEM Global Yield LLC SCS, a Luxembourg-based private investment vehicle.
Under the agreement, GGY will provide VMI with a share subscription facility of up to SGD 135 million, about $100 million, for a 36-month period following a public listing of VMI’s common stock. VMI will control the timing and maximum amount of drawdowns under this facility and has no minimum drawdown obligation.
“VMI is very pleased to be selected by the GEM Group to receive this investment. It is a credit to the GEM management that they very quickly grasped that the world is moving to remove single use plastics from the supply chain," said VMI founder and chief executive Leicester Chatfield.
Vending Machines International Pte Ltd is a Singapore-registered entity providing solutions in water distribution with zero plastic waste. Established in 2015, VMI has developed its own water dispensing kiosk network in Australia. In the next stage of its development, VMI said it will pivot to a "highly scalable white-label and licensing strategy which is underpinned by strong interest from international FMCG brand owners."
Global FMCG companies have switched to other forms of packaging like tin cans, glass bottles and paper boxes, but these materials come with tradeoffs, VMI explained.
"Mining aluminium, for example creates toxic waste. Glass bottles also have a carbon footprint from their energy-intensive production process, and their heavier weight means that they also create more emissions during transportation than plastic. Thus, refilling reusable bottles is the only low-impact option," the company observed.
VMI’s head office is in Singapore. Thailand is the company’s base for manufacturing. The company also operates out of Brisbane, Australia.
