Pilsen, Czech Republic — March 03, 2026
UCY Ventures Group (UCY) announces that its Czech subsidiary, UCY Polymers CZ s.r.o., filed for insolvency with the competent court today. The purpose of this step is to safeguard the interests of employees, customers, suppliers, and financial partners to the greatest extent possible.
UCY Group reacquired a majority stake in the former subsidiary in January 2026. Subsequently, a comprehensive analysis of the site’s economic and operational situation was conducted.
UCY Group emphasizes that the insolvency filing exclusively concerns UCY Polymers CZ s.r.o. Other companies and projects within UCY Group — particularly in the field of sorting and inspection technology — are not affected and will continue as planned.
Causes: Market Conditions and Legacy Issues from the Previous Period
In recent years, the framework conditions for high-quality bottle-to-bottle PET recycling in Central Europe have changed significantly. In particular, the introduction of a nationwide deposit return system for PET bottles in the Czech Republic has yet to materialize. This directly affects the volume, quality, and predictability of available input streams — a decisive factor for the stable production of bottle-to-bottle-grade PET flakes.
A further decisive factor was the economic starting position of the site at the time the shares were acquired. The subsequent analysis revealed a considerable need for investment and modernization, particularly in the areas of maintenance and technical development. In order to bring the production facility to a sustainably competitive and consistently high-quality level, a substantial investment program would have been required.
“Following the change in ownership structure, we conducted a comprehensive assessment. It became clear that, under the given regulatory and market conditions, as well as its current cost, contractual, and investment structure, the Czech entity cannot be operated sustainably for the foreseeable future,” explains Maximilian J. Söllner, CEO of UCY Ventures Group.
Implications for the Recycling Landscape
The Pilsen site is one of the few facilities in the country capable of producing high-quality PET flakes suitable as feedstock for food-grade recyclates in bottle-to-bottle quality. Without effective collection and return systems, the Czech Republic risks a substantial loss of industrial processing capacity — with tangible consequences for the national circular economy.
UCY therefore calls on policymakers to sustainably strengthen the framework conditions for a functioning circular economy. This includes, in particular, reliable collection systems that ensure sufficient volumes and high material quality with minimal contamination.