Gravita India Limited , a leading global recycling firm with 12 state-of-the-art, eco-friendly manufacturing facilities in Asia and Africa and a capacity exceeding 300,000 MTPA across various scrap recycling sectors, announced that its step-down subsidiary, Gravita Netherlands BV (“GNBV”), has signed a Memorandum of Understanding (MOU) to acquire a waste tyre recycling plant in Romania. This facility, which currently operates with a capacity of approximately 17,000 MTPA, will mark Gravita’s first recycling plant in Europe.
The acquisition will involve creating a separate Special Purpose Vehicle (SPV) in Romania, with GNBV holding 80% equity and management control, while the remaining equity will be owned by Romanian partners. The total investment for this transaction is expected to be around Rs. 40 crore, with GNBV contributing approximately Rs. 32 crore, pending comprehensive financial, environmental, and legal due diligence.
GNBV plans to use this acquisition as a springboard to expand its recycling operations throughout Europe, exploring new market opportunities and forming strategic partnerships to foster growth. This move will bolster Gravita’s presence, broaden its customer base, and enhance its competitive position in the European market.
The company already operates similar rubber recycling facilities in Senegal, Togo, Ghana, and Tanzania, aligning with its vision of diversifying and expanding its recycling business into new geographies.