Recykal Secures $23 Million to Scale Global Waste Management Operations

The funding came from existing investors and several family offices, showing continued confidence in the company's growth and business model.

Recykal plans to use the fresh capital to improve its technology platform, expand its Deposit Return System (DRS) projects, strengthen its waste management services, and support its international expansion efforts.

“This bridge round gives us the flexibility to deepen our technology investments, scale DRS deployments, and expand into international markets where circularity infrastructure is rapidly becoming a priority. We remain committed to building the digital backbone for a globally connected circular economy,” said Recykal cofounder and CEO Abhay Deshpande.

Founded in 2016 by Abhay, Abhishek Deshpande, Ekta Narain, Vikram Prabakar and Anirudha Jalan, Hyderabad-based Recykal is a cleantech startup that uses technology to make waste management more efficient.

Its B2B marketplace helps buyers and sellers trade recyclable materials, while its software enables companies to track plastic and e-waste recycling and meet government regulations.

The company is currently testing its Deposit Return System (DRS) in several Indian states, including Goa, Himachal Pradesh, Kerala, and Tamil Nadu. It is also running pilot projects in Bhutan.

Recykal is backed by Morgan Stanley and has raised more than $35 million in total funding. In 2024, the startup secured $13.2 million in a Pre-Series B funding round led by 360 ONE Asset Management.

The company plans to expand its presence in Europe and the UK through organic growth, partnerships, and acquisitions. It also aims to strengthen its marketplace by supporting both domestic and international sourcing of recyclable materials and circular economy products.

Recykal has shown strong financial growth, reporting gross revenue of ₹1,498 crore in FY26. This represents a 53.2% increase compared to ₹978 crore in FY25.

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