Gravita India Limited announced that a step down subsidiary of company Gravita Netherlands BV (herein after “GNBV”) has executed a Memorandum of Understanding (MOU) to acquire a 17,000 MTPA waste tyre recycling plant in Romania.
This will be Gravita’s 1st recycling facility in Europe. This acquisition will be done by forming a separate SPV in Romania in which GNBV will be holding 80% of equity with management control in the said SPV and remaining equity will be held by other partners based in Romania.
The total investment in this transaction will be approx. Rs. 40 Cr. and GNBV will be investing approx. Rs. 32 Cr. towards its contribution subject to in depth Financial. Environmental and Legal Due Diligence.
GNBV also aims to expand its recycling business operations across the European market, leveraging new market opportunities The company has similar rubber recycling facilities in Senegal, Togo, Ghana and Tanzania.