Recykal raises $18M Series D at $280M valuation
What's the deal? Indian climate-tech startup Recykal has raised Rs 166 crore (around $18 million) in a Series D round led by Ajay Parekh, vice chairman of Pidilite Industries.
The Hyderabad-based company is now valued at roughly $280 million post-money, according to Entrackr estimates.
Founded in 2016 by Abhay Deshpande, Recykal runs a digital waste management platform that connects brands, producers, recyclers, and waste collectors. It helps businesses comply with extended producer responsibility (EPR) rules and access circular economy tools.
Why now? The round follows strong growth. In FY26, gross revenue climbed 53.2% to Rs 1,498 crore, up from Rs 978 crore a year earlier.
It is also Recykal's first raise since April 2024, when it secured Rs 110 crore (about $13 million) from 360 ONE AssetDealroom has a profile for this one. Try Dealroom → Management.
Parekh led with Rs 30 crore, followed by Biological E with Rs 25 crore and 360 ONE Large Value Fund with Rs 20 crore. Trinity Combine and Strat Venture invested Rs 15 crore each.
The company will use the proceeds for working capital and strategic investments in other companies.
What could go wrong? Losses widened to Rs 60 crore from Rs 56 crore a year earlier, even as revenue surged.
Scaling a low-margin waste business while controlling losses remains the core challenge.
The signal: Recykal's Series D leans heavily on strategic and corporate money — from Pidilite vice chairman Ajay Parekh's family office to pharma group Biological E — signalling that India's late-stage circular-economy players are increasingly funded by industrial backers with a direct stake in EPR compliance. For a late-stage startup still posting Rs 60 crore in annual losses, that corporate alignment may matter more than pure financial capital as it scales its waste management platform.
