Manaksia Coated Metals & Industries Limited, a manufacturer and exporter of metal products, has announced plans to raise Rs 134.55 crore through a preferential warrant issue. At its board meeting on December 2, 2024, the company approved the issue of 2,07,00,000 warrants at a price of Rs 65 each. The funds will fuel the company’s ambitious capacity expansion and technology upgrade initiatives.

The capital raised will be used for a technology upgrade project that moves the company to the production of Alu-Zinc coatings Steel products. This will increase production capacity from 132,000 MTPA to 180,000 MTPA, thereby increasing production by 36% and leading to corresponding growth in revenue. Furthermore, the company is planning a prospective integration project, invest in a state-of-the-art steel coil coating line. This will increase the capacity of pre-painted steel from 86,000 MTPA to 236,000 MTPA.

“The funds raised will allow us to significantly increase our production capacity, particularly in Alu-Zinc, which will allow us to meet the growing demand in the sector. walk more efficiently. This expansion will also streamline our operations, improve profitability and ensure that we continue to provide high quality products to our customers,” Karan Agrawal, Whole-Time Director, Manaksia » said Coated Metals & Industries Limited.

Part of the funds will also be allocated for the optimization of the working capital cycle and the phased development of a captive solar power plant, highlighting the company’s commitment to sustainable and energy-efficient practices.

These initiatives will allow the company to move towards high-end products with higher added value, thus improving its profit margins while considerably increasing its production capacity. With this strategic approach, Manaksia aims to respond more effectively to growing market demand while minimizing its carbon footprint.

“By streamlining our working capital cycle, we will improve liquidity and strengthen financial flexibility. The progressive development of a captive solar power plant will not only support sustainability goals but also help reduce energy costs in the long term,” he added.