Funding · Climate, Energy & Sustainability

Recykal raises $23 Mn bridge round

By Startup Enthusiast · 20 June 2026

What they do

Recykal is a cleantech platform that digitises waste management and runs a B2B marketplace for recyclable materials

It raised a $23 Mn bridge round (mix of primary and secondary deals) led by Ajay Parekh, with new and existing investors

Early backer Circulate Capital fully exited with about 5X returns, and the company plans to expand into Europe and the UK

Recykal raised a $23 Mn (₹217 Cr) bridge round that includes both primary and secondary deals.
The primary portion was $17.6 Mn (₹166 Cr) and the secondary portion was $5.4 Mn (₹51 Cr).
New investors contributed $9 Mn and existing investors contributed $14 Mn.
The round was led by Ajay Parekh, vice chairman of Pidilite Industries, who infused ₹30 Cr.
Participants included Biological E Ltd (₹25 Cr), 360 ONE (₹20 Cr), Trinity Combine (₹15 Cr), and Strat Ventures (₹15 Cr).
New investors are Biological E Ltd and family offices of Mahima Datla, Dr Nageshwar Reddy, and PVS Raju (AIG Hospitals).
Existing investors are 360 ONE, Trinity Combinator, Strat Ventures, and the Ajay Parekh family office.
Early backer Circulate Capital fully exited, earning about 5X returns on its original investment.

India's waste recycling services market is projected to be a $1.5 Bn opportunity by 2031.
Investor interest in cleantech is growing due to net-zero targets, regulatory sops, and ESG mandates.
Recykal's FY26 gross revenue was ₹1,498 Cr, up 53.2% from ₹978 Cr in FY25.
Its losses reduced from 6% to 4% in FY26.

Recykal is a cleantech platform that digitises waste management.
It operates a B2B marketplace for recyclable materials.
It provides software for brands to track plastic and e-waste recycling for compliance.
It runs a Deposit Return System (DRS): consumers pay a refundable deposit on containers, refunded when they return them.
The DRS includes reverse logistics, consumer engagement, reverse vending machines, and verification infrastructure.
DRS pilots and deployments are active in Goa, Himachal Pradesh, Kerala, Tamil Nadu, and Bhutan.
It also runs an Open Marketplace for domestic and global sourcing of recyclable materials and circular commodities.
The company is Morgan Stanley-backed.

Funds will be used to strengthen the tech stack and support international growth.
Funds will accelerate DRS deployments and scale waste management solutions.
The company is actively pursuing opportunities in Europe and the UK via organic expansion, partnerships, and potential acquisitions.
It will make strategic investments in the circular economy.

Ajay Parekh (lead) — Vice chairman of Pidilite Industries; his family office invested ₹30 Cr.
Biological E Ltd (participant) — A new investor; invested ₹25 Cr.
360 ONE (participant) — Existing investor; invested ₹20 Cr.
Trinity Combine (participant) — Existing investor; invested ₹15 Cr.
Strat Ventures (participant) — Existing investor; invested ₹15 Cr.
Circulate Capital (seller) — Early backer that fully exited with about 5X returns.

Product: Technology platform for waste management and circular economy with Deposit Return System deployments
Customers: Brands, manufacturers and enterprises seeking sustainable waste management and circular economy solutions
How it makes money: B2B platform connecting waste producers with processing infrastructure and solutions
What sets it apart: Integrates behavioral change solutions with technology infrastructure for scaled waste management