Nestlé's sustainable packing fund has backed buyout vehicle Closed Loop Leadership Fund, which has a $300m target for its final close.

Packaged food and beverage producer Nestlé’s sustainable packaging fund has provided $30m for Closed Loop Leadership Fund, a US-based buyout unit launched by circular economy-focused investment firm Closed Loop Partners.

Closed Loop Leadership Fund is targeting $300m according to a regulatory filing in October 2019. It has been looking to court corporate investors, family offices, foundations and other institutional investors, according to Buyouts.

The vehicle is intended to form sustainable supply chains in the United States, buying up companies at various stages of the plastics consumption cycle in an effort to limit wasted packaging.

Nestlé plans to utilise recycled plastic from the fund’s portfolio to package its food products. It allocated approximately $258m to the sustainable packaging fund in January this year.