Hi-Green Carbon Limited, a core entity of the **Radhe Group of Energy**, is an Indian renewable energy and waste-to-resource company specializing in the recycling of **End-of-Life Tyres (ELTs)**. Utilizing proprietary **continuous pyrolysis technology**, the company operates within a circular economy framework to produce high-value industrial raw materials, including **Recovered Carbon Black (rCB)**, **Tyre Pyrolysis Oil (TPO)**, and **Steel Scrap**. --- ### Proprietary Continuous Pyrolysis Technology Unlike traditional batch-process recycling, Hi-Green employs a sophisticated thermochemical process conducted in an oxygen-free environment at temperatures between **400°C and 500°C**. * **Operational Efficiency:** The continuous method allows for uninterrupted feeding and discharging, ensuring consistent product quality and superior energy efficiency compared to batch reactors. * **Zero-Waste Mass Balance:** The process achieves a **100% output ratio** from input materials, leaving no residual waste. * **Energy Self-Sufficiency:** Approximately **50%** of the generated **Syngas** (calorific value of **10,500 kcal**) is recycled to power the pyrolysis reactors. * **Intellectual Property Consolidation:** In **November 2025**, the company acquired all patents and process know-how from **Radhe Renewable Energy Development Pvt. Ltd.** for a token consideration of **₹1**, securing its technological moat. --- ### Manufacturing Footprint & 2030 Expansion Roadmap The company is executing an aggressive strategy to increase processing capacity **10x** by **2030**, targeting **1,000 TPD** (Tons Per Day) through the establishment of one new **100 TPD** plant annually. | Plant Location | Status | Capacity | Strategic Focus & Incentives | | :--- | :--- | :--- | :--- | | **Bhilwara, Rajasthan** | Operational | **100 TPD** | Integrated **Sodium Silicate** plant; **529 KW Solar** plant. | | **Dhule, Maharashtra** | Operational | **100 TPD** | Eligible for **80% GST subsidy** (**₹28.88 Cr** over 10 years). | | **Dhar, Madhya Pradesh** | Under Construction | **100 TPD** | Expected production **Jan 2026**; **40% state subsidy**. | | **Samsara (Kachchh)** | Operational | **60-80 TPD** | Backward integration for **Crumb Rubber** chips. | | **Mundra, Gujarat** | Subsidiary | N/A | Strategic port location for future feedstock imports. | --- ### Diversified Product Portfolio & Revenue Streams Hi-Green’s revenue is distributed across several industrial inputs, reducing reliance on any single commodity market. * **Recovered Carbon Black (rCB) [~30% Revenue]:** A sustainable alternative to virgin carbon black (vCB) offering **50-60% cost savings** for customers. While current purity is **80-92%**, R&D targets **99.9%**. It is used in tyres, plastics, and inks. * **Tyre Pyrolysis Oil (TPO) / Green Oil [~40% Revenue]:** A low-sulphur fuel substitute for the ceramics, cement, and textile industries. * **Sodium Silicate:** Produced as "raw glass" by utilizing excess syngas in Rajasthan, effectively reducing external energy costs to zero for this segment. * **Steel Scrap:** High-quality steel recovered from tyre structures, sold to steel mills. * **Syngas:** High-calorific gas used for internal heating, power generation (via gas engines in Maharashtra), or potential bottling for industrial sale (pending **PESO** approval in MP). --- ### Financial Performance & Growth Guidance The company successfully listed on the **NSE Emerge** platform in **September 2023**, raising **₹44.93 Cr** to fund its Maharashtra expansion. **Consolidated Financial Highlights:** * **Revenue (FY25):** **₹96.78 Cr** (up **37.8%** YoY). * **EBITDA (FY25):** **₹20.21 Cr** (up **10.7%** YoY). * **PAT (FY25):** **₹11.13 Cr** (up **5.3%** YoY). * **Margin Targets:** Management aims for a sustainable **EBITDA margin** of **20% to 25%**. **Forward Guidance:** * **H2 FY26 Revenue:** Estimated at **~₹80 Cr**. * **FY26 Full Year:** Target of **₹130-140 Cr**. * **FY27 Outlook:** Anticipated top line exceeding **₹200 Cr** as three plants reach full operations. --- ### Strategic Integration & Cost Advantages * **Capex Efficiency:** Investment requirements are **2-3x lower** than competitors due to indigenous technology and the ability to manufacture plants at a **cost-to-cost** basis via leased group infrastructure. * **Backward Integration:** Through **Samsara Recycling**, the company targets **50% in-house sourcing** of crumb rubber to secure feedstock and insulate margins from market volatility. * **EPR Framework:** While not claiming credits directly to avoid double-counting, the company benefits from lower feedstock costs as suppliers pass on credit values (approx. **₹1-₹1.5 per kg**). * **Certifications:** Holds **REACH**, **ISCC Plus**, and **ISCC EU** certifications, essential for global OEM supply chains and European exports. --- ### Sustainability & Decarbonization Impact Hi-Green’s rCB offers a significant environmental advantage over conventional virgin Carbon Black: * **Emission Reduction:** rCB manufacturing emits **1/10th to 1/25th** of the CO2e of vCB. * **Carbon Footprint:** Current Global Warming Potential (GWP) is **0.232 kgCO2e/kg**. * **Solar Integration:** Installation of solar panels at the Bhilwara facility is expected to further reduce GWP to **0.134 kgCO2e/kg**. * **Carbon Credits:** The company is conducting lifecycle assessments to eventually monetize carbon credits. --- ### Risk Factors & Mitigation * **Operational Hazards:** Waste tyres are highly flammable; a fire at the **Samsara** facility in **October 2025** highlighted the need for robust insurance and safety protocols. * **Market Sensitivity:** Profitability is linked to crude oil prices; a significant drop in vCB prices (e.g., from **₹120 to ₹90**) increases competitive pressure on rCB. * **Regulatory Compliance:** Operations must adhere to strict **NGT** and **MoEF** standards for emissions and water pollutants (e.g., **BOD < 30 mg/l**). * **Gestation Periods:** rCB is not a commodity; it requires **9-12 month** validation cycles with tyre OEMs, leading to slower capacity ramp-ups for new plants. * **Audit Observations:** The company has faced technical non-compliance regarding **MSMED Act** interest provisions and minor delays in secretarial filings.