The partnership agreement aims to enhance the competitiveness of fibre production technology by reducing both capital and operational costs.

The agreement, which is limited in time and scope, also includes an exclusivity fee based on realised project deliveries.

While Spinnova does not anticipate a material impact on its 2024 financials from the deal, the partnership is expected to drive innovation and efficiency in fibre production technology.

This collaboration builds on an existing relationship between the two companies as Valmet previously supplied drying technology for the factory of Woodspin, a joint venture between Spinnova and Brazilian paper and pulp producer Suzano.

Spinnova's CEO Tuomas Oijala commented: "With Spinnova’s innovation and Valmet’s capabilities as the leading global supplier of process technologies, services and automation, we can deliver our technology customers the best possible tools to produce our innovative fibre.

“Working with Valmet will further accelerate our path to reach our technology goals and cost-competitiveness targets, while also opening up a new portfolio of potential technology customers who are already involved in material processing and pulping."

Petri Rasinmäki, business line president of Valmet's paper business, highlighted the strategic importance of the agreement and added: “Valmet aspires to have a strong role in the revolution of the textile industry, and we support our customers’ journeys in converting renewable resources into sustainable results.”

In July, Spinnova, and Ecco Investment Corp signed a letter of intent (LOI) on their future plans for their 50/50 owned joint venture company Respin Oy to scale Respin's production volumes of leather waste-based fibre to a commercial level.

According to the LOI, both parties are committed to scaling up operations and will work together in order to achieve a final decision, at the latest, by the end of Q1/2025 on how to proceed with the production scaling and commercialisation of Respin.