Shyam Metalics and Energy Limited share price is expected to remain in focus after the company approved a major capital expenditure programme aimed at expanding its stainless steel and wire rod manufacturing capacities.
According to the company’s board meeting outcome, Shyam Metalics approved new projects and expansion initiatives involving a total estimated capital expenditure of ₹2,700 crore.
The projects will be undertaken across facilities in Kharagpur and Sambalpur through a mix of brownfield expansion and downstream integration initiatives.
The company stated that the projects are expected to enhance manufacturing scale, operational efficiency, product diversification, and long-term profitability.5
As part of the expansion plan, the company approved the development of a Long & Speciality Wire Rod and Bar Mill at Kharagpur.
The facility will have an installed capacity of around 8,00,000 tonnes per annum (TPA) and will involve an investment of nearly ₹900 crore.
The proposed commissioning timeline for the project is March 31, 2029. The project is expected to strengthen the company’s presence in speciality steel products and improve downstream product integration capabilities.
The larger portion of the capex will be directed towards expansion of stainless-steel operations at the Sambalpur facility.
The company plans to increase stainless steel capacity from 0.50 MTPA to 0.60 MTPA along with development of downstream processing infrastructure.
The expansion includes stainless steel cold rolling mill, precision cold rolling mill, hot rolling annealing and pickling line, and stainless-steel bright annealing line.
The Sambalpur project will involve an investment of around ₹1,800 crore with targeted commissioning by March 1, 2029.
The company stated that the projects are proposed to be funded through a combination of internal accruals and borrowings, depending on management decisions over time.
Management indicated that the projects are expected to strengthen market positioning, improve profitability, and enhance shareholder value over the long term.
Apart from the capex announcement, the board recommended a final dividend of ₹2.70 per equity share for FY26, subject to shareholder approval at the upcoming annual general meeting.
As 12 May 2026, at 10:00 AM, Shyam Metalics share price is trading at ₹855.05 per share, reflecting a decline of 1.92% from the previous closing price.
Shyam Metalics’ ₹2,700 crore expansion programme marks a major strategic investment towards capacity growth, downstream integration, and expansion of value-added steel and stainless steel product offerings.
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Published on: May 12, 2026, 10:37 AM IST
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