In this study, bottom-up type powder processing and top-down type SPD (severe plastic deformation) approaches were combined in order to achieve both full density and grain refinement of metallic powders with least grain growth, which was considered as a bottle neck of the bottom-up method using the conventional powder metallurgy of compaction and sintering. ECAP (Equal channel angular pressing), one of the most promising method in SPD, was used for the powder consolidation. In the ECAP process of not only solid but also powder metals, knowledge of the density as well as internal stress, strain and strain rate distribution is important for understanding the process. We investigated the consolidation, plastic deformation and microstructure evolution behavior of the metallic powders during ECAP using experimental and theoretical methods. Almost independent behavior of powder densification in the entry channel and shear deformation in the main deformation zone was found by the finite element method in conjunction with a pressure dependent material yield model. It was found that high mechanical strength could be achieved effectively as a result of the well bonded powder contact surface during ECAP process of gas atomized Al-Si powders. The SPD processing of powders is a viable method to achieve both fully density and nanostructured materials.