former H&M Group CEO takes helm as board chair

Nine months after filing for bankruptcy, Circulose (formerly known as Renewcell) has named Helena Helmersson, former CEO of H&M Group, as president of the board of directors. Jonatan Janmark, a partner at McKinsey & Company, has been appointed CEO.

Helmersson’s appointment as board president comes as no surprise. She spent a decade at H&M, progressing to chief operating officer before assuming the role of CEO from January 2020 to January 2024. Notably, H&M Group remains a key investor in Circulose after the latter’s restructuring. 

Now owned by Swedish private equity firm Altor, Circulose specialises in producing a sustainable pulp derived from cotton waste. This innovative material is used to create cellulosic fibres, which are supplied to partner brands including H&M, Bestseller, Tommy Hilfiger, and Ganni.

The company’s financial collapse in early 2024 was largely attributed to the challenging post-pandemic environment for the fashion industry, with some brands reportedly hesitant to adopt the company’s solutions. Despite these setbacks, Helmersson is focused on steering the company into a promising future.

“We have an ambitious agenda ahead of us and a talented team ready to make it happen. I am glad to be working with Altor, our partnership will benefit from their industrial expertise and track record in helping companies scale up,” said Helmersson. “Circulose feels very much like a natural fit, for me and for the future, and I look forward to contributing my many years of experience in the fashion industry,” she added.

“We recognise the many challenges ahead and the shift won’t happen overnight, but we are fully committed to seeing it through,” said Janmark.

Cellulosic fibres, which are predominantly made from chemically processed wood pulp, accounted for approximately 6% of global fibre production last year, making them the third most-produced fibre globally after polyester and cotton.