The deal gives Lenzing majority control over a promising Swedish fiber platform and links its specialty-fiber strategy more tightly to a technology aimed at lower-impact, industrial-scale growth.
Lenzing has moved to majority control of Sweden’s TreeToTextile AB, deepening its push into next-generation manmade cellulosic fibers and tightening its grip on a technology it sees as commercially scalable for both textiles and nonwovens. The transaction, announced on February 2, 2026, is being carried out through the issuance of new shares.
A bigger bet on specialty fibers
For Lenzing, the acquisition is less a portfolio addition than a strategic capacity play. The company says TreeToTextile’s platform is patent-protected, resource-efficient and positioned as a major advance in cellulosic fiber production after viscose and lyocell. Lenzing first took a non-controlling stake in TreeToTextile in 2024, then described the partnership as a route to develop next-generation cellulose fibers aligned with its sustainability agenda. In February 2026 it converted that position into a controlling majority.
What the platform adds
TreeToTextile, founded in 2014, operates from Stockholm with a demonstration plant in Nymölla and an R&D center in Mölndal, Gothenburg. The company says its cellulose fiber technology is designed to reduce chemical use, water and energy demand while remaining cost-competitive. It also positions the fiber as capable of complementing or replacing portions of cotton, viscose and polyester demand. TreeToTextile had 57 employees, while Lenzing reported 2024 revenue of EUR 2.66 billion and nominal fiber capacity of 1.11 million tonnes.
Scale-up now becomes the real test
The operational priority is now clear: increase output at the Nymölla demonstration plant and prepare the first industrial-scale facility. Existing shareholders H&M Group, Inter IKEA Group, Stora Enso and LSCS Invest will remain minority investors, giving the platform continued links to both upstream raw-material and downstream market perspectives. For mills, brands and nonwovens buyers, the next signal to watch is whether TreeToTextile can move from promising pilot economics to reliable industrial volumes under Lenzing’s ownership.
