India’s climate-tech and circular economy sector continues to attract investor interest as Recykal, a leading digital waste management platform, has raised ₹166 crore (approximately $18 million) in a Series D funding round led by Ajay Parekh, Vice Chairman of Pidilite Industries.
- Funding to Support Growth and Strategic Investments
- Ajay Parekh Leads Investor Participation
- Recykal Valuation Crosses ₹2,500 Crore
- Building India’s Circular Economy Infrastructure
- Shareholding Structure After Funding
- Strong Revenue Growth Signals Market Demand
- India’s Circular Economy Opportunity Expands
The funding round also saw participation from existing investors, including 360 ONE, Strat Venture LLC, and Trinity Combine, reinforcing confidence in Recykal’s technology-driven approach to waste management and circular economy solutions.
Funding to Support Growth and Strategic Investments
According to regulatory filings, the Hyderabad-based company secured board approval to raise the capital through the issuance of 35,971 Series D Compulsorily Convertible Preference Shares (CCPS) at an issue price of ₹46,275 per share.
The investment was completed in two phases, with the company receiving approximately ₹128 crore during the first tranche in February 2026, while the remaining capital was approved subsequently.
The fresh capital will primarily be utilized for:
- Working capital requirements
- Expansion of business operations
- Strategic investments in other companies
- Strengthening circular economy initiatives
- Technology platform enhancement
Ajay Parekh Leads Investor Participation
Among the investors, Ajay Parekh emerged as the largest individual participant with an investment of ₹30 crore.
Other notable investors included:
- Biological E Limited – ₹25 crore
- 360 ONE Large Value Fund – ₹20 crore
- Trinity Combine Private Limited – ₹15 crore
- Strat Venture LLC – ₹15 crore
- Clini Pharma LLP – ₹10 crore
- P. Arun Varma – ₹10 crore
- PVS Raju – ₹10 crore
Additional investments were made by Aryaadi Consulting Services LLP, Vivek Mundhra, Usha Reddy Chigarapalli, Shyam Bhat, Nageshwar Reddy, and Kesari Singh, collectively contributing over ₹31 crore.
Recykal Valuation Crosses ₹2,500 Crore
Based on the latest funding round, industry estimates suggest that Recykal’s post-money valuation now stands at approximately ₹2,587 crore ($280 million).
The valuation reflects growing investor confidence in the company’s role within India’s expanding circular economy and waste management ecosystem.
The latest investment follows Recykal’s previous funding round in April 2024, when the company raised ₹110 crore ($13 million) from 360 ONE Asset Management.
Building India’s Circular Economy Infrastructure
Founded in 2016 by Abhay Deshpande, Recykal has emerged as one of India’s leading digital platforms focused on waste management, resource recovery, and circular economy solutions.
The company connects various stakeholders across the recycling ecosystem, including:
- Brands and manufacturers
- Producers
- Waste collectors
- Recyclers
- Compliance partners
Through its technology platform, Recykal enables businesses to:
- Manage Extended Producer Responsibility (EPR) compliance
- Track waste movement digitally
- Handle e-waste and recyclable materials
- Improve waste traceability
- Access circular economy solutions
As regulatory requirements around sustainability and waste management become stricter, digital platforms such as Recykal are playing an increasingly important role in helping companies meet environmental obligations.
Shareholding Structure After Funding
Following the completion of the funding round, the major shareholders include:
- 360 ONE Large Value Fund – 10.17%
- Strat Ventures LLC – 5.29%
- Ajay Parekh – 2.64%
- Trinity Combine Private Limited – 1.63%
- Biological E Limited – 0.97%
Among the founders, Abhay Raosaheb Deshpande, Co-founder and CEO, remains the largest shareholder with a 23.11% stake, while Co-founder Abhishek Arvind Deshpande holds 5.34%.
Strong Revenue Growth Signals Market Demand
Recykal has reported strong business growth as demand for sustainability and waste management solutions continues to rise.
For FY26, the company recorded:
- Gross Revenue: ₹1,498 crore
- Revenue Growth: 53.2% year-on-year
- FY25 Revenue: ₹978 crore
The company’s losses increased slightly from ₹56 crore in FY25 to ₹60 crore in FY26, reflecting ongoing investments in growth, infrastructure, and technology development.
India’s Circular Economy Opportunity Expands
India is witnessing rapid growth in sectors such as e-waste recycling, battery recycling, plastic waste management, and resource recovery as businesses increasingly adopt sustainability practices.
Government regulations around Extended Producer Responsibility (EPR), rising environmental awareness, and corporate ESG commitments are creating significant opportunities for companies operating in the circular economy space.
With fresh capital, a growing customer base, and expanding regulatory support, Recykal is well-positioned to strengthen its leadership in India’s waste management and circular economy ecosystem.
As the country moves toward a more resource-efficient and sustainable future, digital platforms that improve transparency, traceability, and compliance are expected to play a critical role in driving long-term environmental impact.
