ReCircle rounds up bridge funding to tackle plastic waste circularity in India

INDIA – Indian cleantech startup ReCircle has raised an undisclosed amount in a bridge funding round, led by Venture Catalysts, Mumbai Angels (a subsidiary of 360 ONE WAM), and high-net-worth individuals.

The funding will support ReCircle’s mission to transition India’s plastic waste management to a circular system, addressing the country’s growing waste challenges.

ReCircle CEO and co-founder Rahul Nainani emphasized the importance of the company’s pan-India network of partners, which has been developed over the last eight years.

“We are integrating our network into the plastic waste supply chain to provide traceability from the collection source to the final product packaging. This enables businesses to use ethically sourced, traceable materials in their packaging,” said Nainani.

The newly acquired funds will be instrumental in ReCircle’s plans to diversify its offerings, expand its impact, and launch a recycling unit in the coming months.

ReCircle’s commitment to circularity aligns with its broader growth and diversification strategy. The company is on track to reach its revenue goal of Rs1 billion (US$11.91 million) by the financial year 2025-26.

It currently operates a material recovery facility in Dahisar, Mumbai, where it processes various materials, including plastic, paper, cardboard, metal, glass, e-waste, and textiles.

So far, ReCircle has diverted over 169,000 tonnes of waste from landfills and water bodies across 270 cities and towns in India.

Apoorva Ranjan Sharma, co-founder and managing director of Venture Catalysts, praised ReCircle’s approach to plastic waste management.

“Their technology-driven solution, combined with their extensive pan-India network, positions them uniquely to tackle plastic waste on a large scale. We’re particularly excited about their forward integration plans, which will enhance traceability and create new revenue streams,” Sharma said.

According to Statista, India produces over 160,000 metric tonnes of municipal waste daily. While the country processed more than 75% of its total waste in 2023, recycling rates for specific materials remain low.

Only 20% of India’s plastic waste is recycled, leaving the rest in landfills or the environment. The country also hosts some of the world’s largest landfills, including those in Mumbai and New Delhi.

Effective waste management in India will require a combination of different treatment methods, such as incineration, composting, and recycling, to address the diverse nature of the waste stream.

As of 2023, India had 2,285 operational compost plants, with 73 more under construction. ReCircle’s efforts aim to enhance the country’s recycling infrastructure and reduce reliance on landfilling.

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