Eco Recycling Ltd approves 50:50 joint venture with Electronic Recyclers International

What Eco Recycling Ltd announced

On 20 July 2026, Eco Recycling Ltd (BSE: 530643) disclosed that its board of directors considered and approved the proposal to create a 50:50 joint venture (JV) company in India with Electronic Recyclers International, Inc. (ERI), a United States‑based electronic waste recycler. The resolution is subject to the receipt of all applicable statutory and regulatory approvals and any other matters the board deems necessary.

"To consider and approve the proposal for the formation of a 50:50 Joint Venture Company in India with Electronic Recyclers International, Inc. (ERI), USA, subject to applicable statutory and regulatory approvals…"

The filing also confirms that the board approved the final execution text of the Shareholders Agreement (SHA) and the Operating Agreement that will govern the new JV.

Joint venture structure and partners

The proposed JV will be an equal‑share partnership, with Eco Recycling and ERI each holding 50 % of the equity. The collaboration aims to combine Eco Recycling’s domestic market presence and network with ERI’s advanced electronic waste processing technologies and global best practices. While the filing does not disclose the JV’s name, capitalisation, or specific business scope, it indicates that the entity will operate within India’s electronic waste recycling sector.

Governing agreements

Two definitive agreements were presented to the board:

1. Shareholders Agreement (SHA) – outlines the rights and obligations of each shareholder, decision‑making mechanisms, profit‑sharing, and exit provisions.
2. Operating Agreement – details the day‑to‑day management, operational responsibilities, technology transfer, and compliance with Indian environmental regulations.

Both documents were approved in their final execution text, meaning the parties can now proceed to sign the agreements once all external approvals are secured.

Key facts at a glance

Why this matters for investors

The approval signals Eco Recycling’s strategic move to deepen its capabilities in electronic waste recycling by leveraging ERI’s technology and international experience. The 50:50 equity split suggests an equal partnership, which may limit immediate dilution for existing shareholders but could introduce new capital and expertise. However, the JV cannot be operational until all required clearances are obtained, meaning the timeline and financial impact remain uncertain. Investors should monitor subsequent filings for approval status, capital commitments, and any disclosed financial terms of the JV.

Conclusion

Eco Recycling Ltd’s board has formally approved the creation of a 50:50 joint venture with US‑based Electronic Recyclers International, along with the final Shareholders and Operating Agreements. The venture now awaits statutory and regulatory approvals before it can be established. Future disclosures will likely detail the JV’s capital structure, projected revenues, and any impact on Eco Recycling’s balance sheet.