Sambhv Steel Tubes Limited will utilise preferential issue proceeds to fund manufacturing expansion, working capital needs, subsidiary investments, and corporate purposes.
Sambhv Steel Tubes Limited will deploy INR 999.97 crore from its preferential issue towards strengthening manufacturing capabilities and supporting business growth. The company will allocate INR 250 crore for capacity expansion and new manufacturing facilities at its Sarora and Kuthrel units, including land, infrastructure, plant and machinery, and utilities. Another INR 200 crore will be used for working capital requirements.
Additionally, INR 50 crore will be invested in its wholly owned subsidiary Sambhv Tubes Limited through an unsecured loan for setting up new manufacturing facilities, while INR 249.97 crore will be utilised for general corporate purposes. The funds are expected to support Sambhv’s expansion plans and long-term growth strategy.
