Gravita India forays into Europe with Romanian tire recycling plant purchase

Jaipur, India – Gravita India Ltd is expanding its footprint with an agreement to acquire an end-of-life tires (ELTs) recycling plant in Romania, the Indian recycling major has announced.

The “milestone” acquisition will mark Gravita’s entry to Europe, extending group’s presence beyond Asia and Africa, said the group 11 Sept.

Gravita did not identify the acquired business but said it had a processing capacity of 17 kilotonnes per annum of ELTs and turnover of INR800 million (€8.6 million) per year.

The Romanian acquisition will be facilitated via subsidiary Gravita Netherlands BV (GNBV), which will hold 80% of the equity and maintain management control.

The remaining shares will be held by local Romanian partners under the deal, which is still subject to financial, environmental and legal due diligence.

The total investment in this transaction is expected to be around INR400 billion, with GNBV contributing INR320 million. 

“GNBV aims to leverage new market opportunities, establish strategic partnerships, and grow its recycling business across Europe,” said the Indian group.

Gravita already operates similar rubber recycling facilities in Senegal, Togo, Ghana, and Tanzania.

According to the group, the proposed acquisition aligns with its diversification and global expansion strategies.