Steel Exchange India Ltd has approved a fundraise of up to Rs 600 crore through equity shares or other eligible securities. The move aims to strengthen the company’s financial position, reduce debt, and support growth initiatives. The structure and timing will be decided by a dedicated committee.
Steel Exchange India Ltd (SEIL), a leading player in India’s steel manufacturing sector, has announced board approval for raising funds up to Rs 600 crore. The capital will be mobilized through the issuance of equity shares or other eligible securities, including bonds, in one or more tranches. This strategic decision is part of SEIL’s broader plan to enhance financial flexibility and support future expansion.
Key highlights from the announcement include
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The board has authorized fundraising of up to Rs 600 crore via equity shares or other eligible instruments.
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The issuance may be executed through private placement, preferential allotment, qualified institutional placement (QIP), or a combination of these modes.
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A fund-raising committee has been empowered to finalize the structure, pricing, timing, and terms of the issuance.
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The capital will be used to reduce debt, improve working capital, and fund strategic growth initiatives.
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The move aligns with SEIL’s long-term vision to strengthen its balance sheet and operational capacity.
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The company also announced a slump sale of a non-core asset worth Rs 50 crore to streamline operations.
Steel Exchange India’s fundraising plan reflects its commitment to financial prudence and growth. By leveraging capital markets, SEIL aims to reinforce its position in the competitive steel industry while delivering value to stakeholders.
Sources: Business Standard, NDTV Profit, Angel One