Manaksia Coated Metals Unveils Major Expansion with Rs134.55 Crore Warrant Issue

Manaksia Coated Metals & Industries Limited has secured shareholder approval to raise Rs134.55 crore via a preferential issue of fully convertible warrants. The funds will enhance production capacity, introduce new technology capabilities, and support sustainable practices, positioning the company for growth and enhanced market competitiveness.

Manaksia Coated Metals & Industries Limited, a prominent entity in the coated metal products sector, has announced a strategic capital increase. The shareholders approved a preferential issue of 2,07,00,000 fully convertible warrants, with each priced at Rs65, amounting to a total of Rs134.55 crore.

These funds are earmarked for a comprehensive upgrade in technology, poised to transform production processes and diversify the product line. Plans include the addition of Alu-Zinc Coated Steel products, boosting production capacity significantly by 36%, up from 132,000 MTPA to 180,000 MTPA.

Among the significant initiatives is a forward integration project with a cutting-edge steel coil coating line, enhancing Pre-painted Steel capacity by 175% to 236,000 MTPA. This move aligns with a broader strategy to adopt sustainable practices, including a phased setup of a captive solar power plant to ensure energy efficiency.

Karan Agrawal, Whole Time Director of the company, highlighted the importance of this development, emphasizing their commitment to growth and innovation. He noted that the funds would strengthen the balance sheet, reduce debt, and support enhanced production capabilities.

The initiatives signal Manaksia's commitment to sustainability and innovation, as they aim to minimize their carbon footprint and enhance long-term profitability. Such strategic expansions are key to bolstering market presence and ensuring sustained competitive advantage.

(With inputs from agencies.)