Manaksia Coated Metals & Industries Limited (NSE: MANAKCOAT, BSE: 539046), a leading manufacturer and exporter of high-quality coated metal products, announced that its shareholders have approved a preferential issue of 2,07,00,000 Fully Convertible Warrants during the Extra-Ordinary General Meeting (EGM). Priced at ?65 per warrant, this ?134.55 crore fundraise will support the company's strategic plans for debt reduction, capacity expansion and a significant technology upgrade.
Going ahead the capital raised will be utilized for a technology upgrade that transitions the company's production capabilities to include production of Alu-Zinc Coated Steel products. This upgrade will enhance production capacity from 132,000 MTPA to 180,000 MTPA, marking a 36% increase in output and corresponding revenue potential. Additionally, the company will take up a forward integration project, involving a state-of-the-art steel coil coating line, will increase Pre-painted Steel capacity from 86,000 MTPA to 236,000 MTPA, marking a 175% increase in capacity. The company also plans to establish a captive solar power plant in phases, aligning with its commitment to sustainable and energy-efficient operations.
With these initiatives now in the pipeline, the company is set to meet growing market demand by transitioning to a more premium, value-added product, enhancing profitability, and reducing its carbon footprint. The expansion projects, coupled with sustainable practices, will streamline operations and position it for long-term growth and competitiveness in the market.
Commenting on this achievement Mr. Karan Agrawal Whole Time Director, Manaksia Coated Metals & Industries Limited said, " We are pleased to receive shareholder approval for this preferential issue, which is a significant milestone in our journey toward growth and innovation. The funds raised will allow us to strengthen our balance sheet, recue debt and empower us to expand our production capabilities with advanced technologies.
In addition to scaling up production, we are committed to sustainable practices through the phased implementation of a captive solar power plant, reflecting our focus on energy efficiency and environmental responsibility. These strategic initiatives will strengthen our market position, improve profitability, and create long-term value for our stakeholders while aligning with our vision for sustainable and efficient growth."
Shares of Manaksia Coated Metals & Industries Limited was last trading in BSE at Rs. 111.96 as compared to the previous close of Rs. 107.67. The total number of shares traded during the day was 21346 in over 186 trades.
The stock hit an intraday high of Rs. 112.80 and intraday low of 107.05. The net turnover during the day was Rs. 2348461.00. |
