Street Calls of the Week
LILLE, FRANCE - SMX (NASDAQ:SMX), whose stock has declined nearly 97% over the past six months amid challenging market conditions, has formed a partnership with the European Center for Innovative Textiles (CETI) to develop molecular-level technology for textile traceability and authentication, according to a press release statement issued Monday. According to InvestingPro analysis, the company currently shows weak financial health scores, with rapid cash burn being a key concern.
The collaboration aims to address the European Union’s increasing regulatory requirements, including Digital Product Passport rules and Green Deal initiatives, which mandate traceability in textile production.
Based in Lille, CETI will work with SMX to implement technology that embeds invisible molecular markers into textile fibers, connecting them to blockchain-based digital passports. This system is designed to verify recycled content claims and authenticate textiles at an industrial scale.
The partnership positions Lille as a center for textile circularity in Europe, offering manufacturers a way to comply with regulations while potentially gaining competitive advantages. The technology is intended to help brands meet sustainability reporting requirements and combat counterfeit products. InvestingPro subscribers can access 12 additional key insights about SMX’s financial position and market performance, helping investors make more informed decisions about this volatile stock.
The molecular marking system could be applied across multiple textile sectors, including luxury fashion, sportswear, and industrial fabrics. According to the press release, the technology would allow supply chains to operate more efficiently while providing regulators with verifiable data.
The initiative comes as European regulations increasingly require companies to provide proof of their sustainability claims and product authenticity. The partnership aims to create market-ready fabrics with built-in traceability features that can be verified throughout the supply chain.
The collaboration represents an effort to establish verifiable standards for textile production and recycling as regulatory requirements continue to evolve in Europe.
In other recent news, SMX has made significant advancements in plastic recycling technology. The company, in collaboration with BT-Systems’ Competence Center REDWAVE, demonstrated a new technology that can detect, separate, and certify previously unrecyclable plastics at industrial speeds. This breakthrough was showcased to the European flame-retardant authority NAFRA and includes processing capabilities for food-grade packaging and flame-retardant materials. Additionally, SMX completed proof-of-concept trials for its plastic sorting technology, further validating its capabilities in collaboration with RedWave and Singapore’s Agency for Science, Technology and Research (ASTAR).
SMX has also partnered with REDWAVE to integrate molecular traceability technology into industrial-scale recycling systems. This partnership aims to combine SMX’s molecular markers and blockchain verification with REDWAVE’s sorting systems to enhance recycling processes. In a notable development, Singapore has launched the world’s first national plastics passport system in partnership with SMX and ASTAR. This system uses SMX’s molecular marker technology to embed unique codes into plastics, creating digital passports that track materials throughout their lifecycle.
SMX is also working on developing a universal standard for recycled plastics tracking. The company’s technology embeds molecular markers into various materials, creating identifiers linked to digital passports that ensure consistent verification across international borders. These recent developments highlight SMX’s commitment to advancing recycling technology and verification processes.
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