Acquisition enables forward integration from scrap processing to automotive component manufacturing.
29 Sep 2025 | 4135 Views | By Shruti Shiraguppi
NRL Recycling Limited, a recycling and waste management company, has acquired Tycod Autotech Pvt Ltd in an all-cash transaction valued at INR 240 million as part of its strategy to move up the value chain from scrap processing to aluminium alloy production and precision-engineered automotive components manufacturing.
The acquisition ...
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NRL Recycling Limited, a recycling and waste management company, has acquired Tycod Autotech Pvt Ltd in an all-cash transaction valued at INR 240 million as part of its strategy to move up the value chain from scrap processing to aluminium alloy production and precision-engineered automotive components manufacturing.
The acquisition represents a forward integration move that allows NRL to expand beyond its core recycling operations into automotive component manufacturing. Post-acquisition, NRL has invested an additional Rs 10 crore to modernise Tycod's production infrastructure, including installation of High Pressure Die Casting (HPDC), VMC, and CNC machinery.
"This acquisition is a strategic forward integration that allows us to capture greater value from our recycling operations. Tycod gives us the capability to not only expand our aluminium alloy ingot sales but also venture into precision manufacturing for the automotive sector," said Rajesh Gupta, Managing Director, Nupur Recycling Limited.
Gupta added, "We're already dispatching over 100 tonnes of aluminium alloy ingots monthly to Tycod and are ensuring consistent quality and on-time delivery for our key OEM clients. Looking ahead, we're targeting 300 tonnes per month to support in-house manufacturing of auto components by the year of 26-27."
Tycod Autotech operates from a 90,000 sq ft industrial facility on a 20,215 sq mt land parcel located within the 200-acre Tata Vendor Park in Rudrapur, Pantnagar. The facility manufactures engine components for Tata commercial vehicles and supplies to OEMs including Tata Motors, Sundaram Fasteners, and Interpump Group.
The company currently employs approximately 175 people, with plans for further expansion following the infrastructure upgrades designed to increase capacity and attract additional OEM partnerships.
Daksh Maheshwari, Founder and CEO of Tycod Autotech said, "Joining hands with NRL has accelerated our growth trajectory. With a reliable raw material supply and new investments in advanced machinery, we are now poised to become a leading Tier-1 supplier to OEMs."
The acquisition supports NRL's long-term strategy to transition from raw material recycling to precision manufacturing, creating what the company describes as integrated, sustainable value across the metals supply chain.
NRL Recycling Limited specializes in non-ferrous metal scraps including shredded zinc scrap, zinc die cast scrap, zurik scrap, and aluminium zorba grades. The company operates in trading, manufacturing and processing recyclable metals from scrap materials.
NRL imports and processes non-ferrous metal scrap from long-term suppliers and has been expanding into international markets including UAE, Central Europe, and USA.
The automotive components sector has been experiencing consolidation as companies seek vertical integration opportunities. Forward integration strategies allow recycling companies to capture higher margins by moving closer to end-user applications rather than remaining focused solely on raw material processing. The automotive industry's emphasis on sustainable supply chains has also created opportunities for recycling companies to establish direct relationships with OEMs.