South Korean startup Reco, which operates the business waste collection service ‘UpBox,’ has successfully raised USD 43.7 million (KRW 58.5 billion) in Series C funding.

This funding round was led by Ingka Investments, the investment arm of Ingka Group, which operates IKEA retail stores across 31 countries, including South Korea. This marks Ingka Investments’ first-ever investment in South Korea and its first investment in Asia following the company’s recent announcement of a €1 billion commitment to circular economy-related businesses. Reco has consistently demonstrated strong financial performance, attracting interest from global investors.

Additionally, Korea Development Bank (KDB), along with existing investors GS and D3 Jubilee Partners, participated as follow-on investors, further reinforcing Reco’s growth potential. GS and D3 Jubilee Partners have continually invested in Reco since its early funding stages, demonstrating long-term confidence in the company’s business performance.

Lukas Visser, Head of Circular Economy Investments at Ingka Investments, stated, “Reco is setting a new standard for sustainable waste management, leveraging South Korea’s infrastructure and regulatory environment. Food waste remains one of the most urgent environmental issues we face today, requiring collective efforts from governments, businesses, and communities.” He added, “By supporting Reco’s mission to enhance recycling transparency through digital innovation, we believe we can accelerate meaningful change beyond Ingka Group. Encouraging sustainable practices for a better future is a shared responsibility.”

Reco provides waste management solutions to various industries, including hospitality, manufacturing, and retail, through its B2B waste management platform, UpBox. The service helps businesses efficiently manage waste while reducing operational burdens and promoting sustainable waste management. Notably, ‘UpBox Cloud’ is integrated with the Korea Environment Corporation’s ‘Allbaro System,’ streamlining administrative processes for businesses.

With the newly secured funding, Reco plans to enhance the sophistication and quality of its waste management services. The company will leverage its proven experience in food waste management within the Seoul metropolitan area to expand services nationwide, while also accelerating global market entry.

Reco also aims to advance its data-driven waste management platform and strengthen its development capabilities to build more innovative technology solutions. To achieve this, the company plans to expand its development team and offer differentiated waste management services that address customer challenges.

Reco CEO Geun-ho Kim stated, “This global investment reaffirms the importance of waste management and highlights the excellence of South Korea’s waste collection services. Reco will continue to enhance its top-tier domestic waste management services while expanding sustainable innovation in global markets.” He added, “We will consistently strengthen our corporate operations and governance to meet the highest global standards.”