$40M for Tire Recycling: Prism Secures Funding from Ex-Costco CEO & Investors

Tire Recycling Startup Prism Worldwide Secures $40 Million, Led by Costco Co-founder Jim Sinegal

Prism Worldwide, a Kirkland, Washington-based startup, has secured $40 million in funding to revolutionize tire recycling. Investors include Jim Sinegal, Costco’s co-founder and former CEO, and Columbia Pacific Advisors. This funding marks a significant step for Prism and its mission to address the environmental challenge of discarded tires.

Prism utilizes patented technology to transform used tires into a versatile polymer. This process offers a solution to the disposal of the approximately 300 million tires discarded annually in the U.S. Instead of limited reuse options like burning or grinding, Prism’s technology creates a material with broader applications.

Bob Abramowitz, Prism’s CEO and co-founder, views this venture as a personal environmental commitment. He previously worked in the bottled water industry and sees this as an opportunity to contribute to a more sustainable future. You can connect with Bob Abramowitz on LinkedIn.

The technology employed by Prism reverses the vulcanization process of tires. This allows the resulting polymers to be used in a wider range of products than simply pulverized tires. The polymers can replace virgin materials in manufacturing and can even be re-vulcanized.

Prism’s manufacturing facility in New York produces polymer pellets. These pellets are then blended with other materials to meet specific customer requirements. Currently, the recycled tire polymer is used in products such as rubber car mats, plastic tote containers, and shipping racks.

Prism’s co-founders bring a wealth of experience to the company. Robert “Spike” Anderson, former head of Anderson Daymon Worldwide (later ADW), Costco’s largest supplier, serves as Prism’s board chair. William Coe, a former Lockheed Martin engineer and materials science entrepreneur, developed the core recycling technology.

The Series A and A1 funding round, led by Sinegal and Columbia Pacific Advisors, closed in November, with Anderson also participating. Abramowitz expressed gratitude for Sinegal’s support.

Prism is commercially viable and projects sales in the low eight-figures this year. The company currently employs over 20 people.

Demand for Prism’s recycled materials is growing, driven by companies seeking to meet sustainability and low-carbon goals. Prism’s process offers a lower climate impact and cost-competitive alternative to using new materials.

Abramowitz hopes his work with Prism will demonstrate a commitment to environmental responsibility. He views this venture as a culmination of his career, focused on creating positive change.