Symphony Environmental Tech rises after Brazil court ruling

(Sharecast News) - Symphony Environmental Technologies welcomed a ruling by Brazil's Supreme Federal Court (STF) on Monday, upholding Complementary Law 233/2008, which mandates the use of reusable, biodegradable, or oxo-biodegradable plastic bags in commercial establishments in the City of Piracicaba. The AIM-traded firm said the decision, which affirmed municipal authority over local environmental legislation, would have national implications for similar laws across Brazil.

It said the law had faced legal challenges from the São Paulo State Plastic Material Industry Union, and was initially declared unconstitutional by the São Paulo Court of Justice in 2011.

However, the STF's ruling reversed this decision, confirming the validity of the regulation and establishing a 12-month compliance period, which expired on 21 February.

The company said the ruling would support broader environmental efforts by promoting biodegradable solutions that address concerns over microplastics and long-term plastic pollution.

It said oxo-biodegradable technology enabled plastic bags to degrade more rapidly if released into the environment, reducing their persistence in ecosystems.

Symphony noted the significance of the ruling in advancing sustainable plastic use and reinforcing the role of biodegradable technologies in waste management policies.

"We are thrilled by the Supreme Federal Court's decision. This landmark ruling is a significant victory for the environment and underscores the importance of sustainable practices," said chief executive officer Michael Laurier.

"We believe this decision will open up new opportunities for our d2w oxo-biodegradable plastic technology, as it aligns perfectly with the growing demand for practical answers."

"This ruling not only supports our efforts but also paves the way for wider adoption of our eco-friendly solutions across Brazil and beyond."

At 0842 GMT, shares in Symphony Environmental Technologies were up 7.07% at 3.37p.

Reporting by Josh White for Sharecast.com.