- Partnership to scale recycled fibreboard production for construction sector
- Circular materials project aims to cut emissions and costs in building industry
- German-Spanish family firms team up on lightweight, high-strength boards with full recyclability
The European Investment Bank Is providing EUR 22.5 million financing to support a joint initiative by WEPA and the Spanish company Honext Material: together, the family businesses aim to produce and distribute high-quality, circular fibreboards designed particularly for use in the construction and interior design sectors.
The fibreboards combine high strength, low weight and very good acoustic properties, opening up a wide range of applications in sustainable building and interior design concepts. They are made of processed recycled fibres and supplementary fibre materials and can be fully returned into the material cycle at the end of their life.
Martin Krengel, CEO of the WEPA Group, stated: “Our joint effort to manufacture circular fibreboards is unique on many levels: not only are two family businesses working together here – we see this as a beacon of the circular economy in Europe. We are delighted that the European Investment Bank is supporting this special project.”
Nicola Beer, Vice-President of the European Investment Bank, explained: “By financing this project, the European Investment Bank is backing a cutting-edge industrial partnership between two family owned firms, a German manufacturing company and a Spanish cleantech startup to turn fibre materials into high-performance circular boards, helping to decarbonise Europe’s construction and housing sectors, and bringing construction costs down, while strengthening our industrial base and strategic autonomy.”
The construction of the production plant, at Kriebstein in the German state of Saxony, for circular fibreboards from 100% recycled materials is being funded, among others, by the European Investment Bank, a clear indication of the project’s innovative force as well as its significance for Europe.
The agreement with the EIB sets out a clear roadmap for the plant’s further implementation. The team is eager to fulfil the remaining condition precedents to accelerate this unique use case and example of how the circular economy can be vital for businesses and society. The EIB financing is backed by InvestEU.
Background information
WEPA Group
With its products, the WEPA Group ensures the well-being and hygiene of millions of people across Europe – every day and everywhere. The future-oriented family business employs more than 4,500 people at 15 European production sites. WEPA is one of the three largest manufacturers of hygiene paper in Europe and an expert in the production of hygiene paper made from recycled fibres. Annual turnover exceeds 1.9 billion euros. The WEPA portfolio includes sustainable and innovative hygiene solutions – ranging from toilet paper and kitchen rolls to hand towels, napkins and handkerchiefs, as well as complete washroom solutions, recycled fibres, semi-finished products and raw materials for industrial use. The WEPA Group is headquartered in Arnsberg, Germany.
Honext Material
Honext Material S.L., based in Barcelona, Spain, is a circular materials company pioneering the transformation of industrial waste into high-value, sustainable construction products. With over a decade of research and development, Honext Material has developed a proprietary industrial process that upcycles cellulose-based waste into fully recyclable boards for architecture and interiors. Used across Europe, HONEXT® boards offer a certified circular alternative to conventional materials, combining sustainability, innovation, and performance.
EIB Group
The European Investment Bank (EIB) Group is the financing arm of the European Union, owned by the 27 Member States, and one of the largest multilateral development banks in the world. In 2025, the EIB Group signed €100 billion in new financing and advisory services for over 870 high-impact projects under eight core priorities that support EU policy objectives: climate action and the environment, digitalisation and technological innovation, security and defence, territorial cohesion, agriculture and the bioeconomy, social infrastructure, strong global partnerships and the savings and investments union. Beyond long-term loans for large infrastructure, the EIB Group crowds in private investment for high-risk innovative projects and businesses, with a growing role in Europe’s markets for venture debt, venture capital, guarantees and securitisations.
The European Investment Fund (EIF) is the subsidiary of the EIB Group specialised in providing guarantees and equity to improve access to finance for small and medium-sized businesses and startups across Europe. Acting as an anchor investor, through its extensive network of partnering banks and investment funds, the EIF mobilises private investment and nurtures the ecosystem of venture capital funds to support innovative European entrepreneurs.
In 2023, the EIF together with six Member States (France, Germany, Italy, Spain, Belgium and the Netherlands) launched the European Tech Champions Initiative, a fund-of-funds to scale up innovative startups. To date, this initiative has already enabled the creation of 15 European venture capital mega-funds and scaled up 43 companies, including 11 unicorns (with more than €1 billion in capital).
Photos of the EIB Group's representatives and headquarters, logo files and video B-roll for media use are available here.
InvestEU
The InvestEU programme provides the European Union with long-term funding by leveraging substantial private and public funds in support of a sustainable recovery. It also helps crowd in private investment for the European Union’s strategic priorities such as the European Green Deal and the digital transition. InvestEU brings all EU financial instruments previously available for supporting investments within the European Union together under one roof, making funding for investment projects in Europe simpler, more efficient and more flexible.
The programme consists of three components: the InvestEU Fund, the InvestEU Advisory Hub and the InvestEU Portal. The InvestEU Fund is deployed through implementing partners that will invest in projects using the EU budget guarantee of €26.2 billion. The entire budget guarantee will back the investment projects of the implementing partners, increase their risk-bearing capacity and thus mobilise at least €372 billion in additional investment.