Ramky Enviro Engineers, an environmental services and solutions provider, plans to invest ₹2,500 crore to expand after investment firm KKR agreed to buy 60% stake in the company for $530 million.
“We will spend ₹2,500 crore in waste-to-energy and in emerging economies in the next three years,” said M. Goutham Reddy, MD and CEO, REEL. “About 20% of the investments will go towards emerging economies.” KKR’s investment marks one of the largest buyouts in India and is the first private equity buyout in the country’s environmental services sector.
Sanjay Nayar, member & CEO of KKR India, said: “REEL’s work uniquely supports the Swachh Bharat Mission, and our team is pleased to invest in the growth of a company that provides critical services and infrastructure to reduce pollution and address the needs of India’s expanding urban population.”
REEL’s suite of comprehensive offerings includes the management, collection, transport and processing of hazardous, municipal, biomedical and e-waste, as well as the recycling of paper, plastic and chemicals, said a company statement adding that REEL also focusses on renewable energy generation.
“We will work alongside REEL’s experienced management team to enhance the company’s mission of becoming a world-class leader in environmental management at a time when implementing sustainable solutions is more important than ever,” said Rupen Jhaveri, MD, KKR.
REEL has a presence in more than 60 locations across 20 Indian states, as well as in certain southeast Asian, West Asian and African markets.