Kolkata: Metal-producing company Shyam Metalics and Energy Limited (SMEL) on Tuesday announced it has completed the acquisition of Mittal Corp Limited.
With the move, the company has now forayed into Stainless Steel (SS) / Wire Rod Bar Mill business.
The company said it completed the acquisition through the NCLT route for an estimated approximate Rs. 450 crores.
The acquisition will witness the establishment of manufacturing footprints in the state of Madhya Pradesh and add capacities of 1,50,000 tpa Stainless Steel (SS) / Wire Rod Bar Mill.
With this development, Shyam Metalics officials said it has embarked on a diversification approach in the metal space to chart the companys growth journey and has proposed to further invest Rs 7500 croreover the next five years.
In order to meet the growth plans with organic and inorganic expansion, SMELs present Capex aims at growing to Rs. 10000 Crores in the next five years, Brij Bhushan Agarwal VCMD, Shyam Metalics and Energy said.
The current manufacturing plants in West Bengal and Odisha which employs more than 15000 people will further see an addition of 10000 jobs to the entire workforce post expansions, the company announced.
In 2021, SMEL said had completed the acquisition in the aluminum foil metal space and then successfully implemented one of Indias largest Aluminium Foil Rolling Plant in India in the State of West Bengal.
The acquisition of Sri Venkateshwara, a small Aluminium Foil plant in Giridh with an annual capacity of 3600 MTPA has hugely benefited the setting up of the Aluminium Foil Rolling mill complex to manufacture Quality Products with an annual rolling capacity of 40000 MT per annum.
SMEL has also taken control of Ramsarup Industries Limited through NCLT which will help facilitate inorganic growth in the steel space.
Following the takeover of Ramsarup Industries in May 2022, Shyam Metalics said it aims at enhancing and reviving the operations and steel-making manufacturing facilities of Ramsarup Ind.
Fresh planning for revival aided with the deployment of capital will lead to the generation of 3000 new jobs and facilitate the growth of the company the state and its people, Agarwal said.
Brij Bhushan Agarwal said, We remain PAT positive since the commencement of our operations in 2005. The current investments across multiple portfolios will only take the company to the next level of diversification and business excellence, further strengthening its domestic and global position in the market.
SMEL has already invested Rs. 2400 Crores out of the Rs. 3950 Crore existing Capex plan of the company in the last two years.
(Reporting by Supriyo Hazra)
