Circular economy and recycling company Karo Sambhav has secured ₹56 crore in a pre-Series A funding round from Rainmatter by Zerodha. According to reports from Outlook Business, the Gurugram-based company will use this capital to expand infrastructure for the recovery of critical raw materials from end-of-life products. The immediate emphasis will be on strengthening recycling capabilities focused on extracting critical, precious and high-value materials from electronic waste and related waste streams. The planned infrastructure has also received eligibility status under the Incentive Scheme for Promotion of Critical Mineral Recycling under the National Critical Minerals Mission (NCMM) of the Ministry of Mines.
Founded in 2017 by Pranshu Singhal, Karo Sambhav has operated as a bootstrapped company for nearly nine years. As reported by Outlook Business, the Delhi NCR-based startup currently runs two recycling facilities, has established collection networks across more than 50 cities across India, and has channelised over 150,000 metric tonnes of waste for responsible recycling. The company works across e-waste, batteries, glass, and other end-of-life material streams, supported by a technology platform designed to improve traceability and transparency. Karo Sambhav has demonstrated patient execution and systems-level impact in a difficult sector, working with over 30 global tech and FMCG brands including Apple, Dell, Cisco, Pepsico, HP, and others. The company has also been recognised for its contribution to India's circular economy ecosystem, including receiving the prestigious 'Social Entrepreneur of the Year India 2021' award from the Schwab Foundation, World Economic Forum.
The startup plans to initially focus on e-waste recycling due to the high concentration of valuable materials in discarded electronics, while also expanding into other waste streams over time. According to Outlook Business, India generates an estimated 4.1 million metric tonnes of e-waste annually, making it the world's third-largest producer of electronic waste. Access to critical raw materials is important for sectors such as electronics, clean energy, mobility, defence, healthcare, digital infrastructure and advanced manufacturing. India's manufacturing future will require reliable access to critical, precious and high-value materials, many of which are already present in products that have reached the end of life, as noted by Pranshu Singhal, Founder and CEO of Karo Sambhav.
Karo Sambhav competes with established players in the recycling sector including Attero Recycling, Recykal, Banyan Nation and ReCircle. The funding comes at a time when India's waste recycling services market, valued at more than $3.3 billion, is projected to grow at a CAGR of nearly 9.8%, driven by stricter extended producer responsibility (EPR) mandates and rapid industrialisation. As reported by Outlook Business, the investment reflects growing concerns around electronic waste and access to critical raw materials, with e-waste increasingly being viewed as a valuable source of resource recovery.
Viraj Joshi, Vice-President at Zerodha and Rainmatter, stated that the firm backs organisations building long-term solutions for climate resilience, sustainability and resource efficiency. As reported by Outlook Business, he noted that Karo Sambhav has demonstrated patient execution and systems-level impact in a difficult sector, with the support helping the company towards circular manufacturing in India. The funding marks one of the larger recent investments in India's recycling ecosystem, underscoring growing investor interest in circular economy businesses that can help secure domestic supplies of critical materials while addressing the country's mounting waste challenge.
