{"id":27753,"date":"2026-06-23T18:54:46","date_gmt":"2026-06-23T13:24:46","guid":{"rendered":"https:\/\/wowentrepreneurs.in\/index.php\/2026\/06\/23\/sumeet-industries-limiteds-%e2%82%b9199-75-cr-rights-issue-to-fund-140000-tpa-capacity-expansion-debt-reduction-and-solar-project\/"},"modified":"2026-06-23T18:54:46","modified_gmt":"2026-06-23T13:24:46","slug":"sumeet-industries-limiteds-%e2%82%b9199-75-cr-rights-issue-to-fund-140000-tpa-capacity-expansion-debt-reduction-and-solar-project","status":"publish","type":"post","link":"https:\/\/wowentrepreneurs.in\/index.php\/2026\/06\/23\/sumeet-industries-limiteds-%e2%82%b9199-75-cr-rights-issue-to-fund-140000-tpa-capacity-expansion-debt-reduction-and-solar-project\/","title":{"rendered":"Sumeet Industries Limited\u2019s \u20b9199.75 Cr Rights Issue to Fund 140,000 TPA Capacity Expansion, Debt Reduction and Solar Project"},"content":{"rendered":"<div>\n<p class=\"wp-block-paragraph\"><strong>Surat (Gujarat) [India], June 23: Sumeet Industries\u00a0Limited,\u00a0(NSE Code: SUMEETINDS, BSE Code: 514211)<\/strong>,\u00a0one of the leading integrated polyester manufacturers engaged in the production of Pet Chips,\u00a0Partially Oriented Yarn (POY),\u00a0Fully Drawn Yarn (FDY) and\u00a0Polyester\u00a0Texturized Yarn, has announced\u00a0a Rights Issue for its eligible shareholders aimed at enhancing financial flexibility and supporting the Company\u2019s strategic business priorities.<\/p>\n<p class=\"wp-block-paragraph\"><strong>Rights Issue Overview:<\/strong><\/p>\n<p class=\"wp-block-paragraph\">The Board of Directors of Sumeet Industries Limited has approved the terms of a Rights Issue aggregating to\u00a0<strong>\u20b9<\/strong><strong>199.75 Cr<\/strong>\u00a0through the issuance of\u00a0<strong>\u20b9<\/strong><strong>16.84 Cr fully paid-up equity<\/strong>\u00a0shares.\u00a0<\/p>\n<p class=\"wp-block-paragraph\">The Company proposes to\u00a0<strong>deploy\u00a0<\/strong><strong>\u20b9<\/strong><strong>49.00 Cr from the Rights Issue proceeds towards the acquisition<\/strong>\u00a0and\u00a0<strong>operationalisation of Additional 140,000 Ton Per Annum<\/strong>\u00a0<strong>Polyester Chips (CP) Plant acquired from Nakoda Limited<\/strong>\u00a0in Surat, Gujarat. The project involves a\u00a0<strong>total capital outlay of\u00a0<\/strong><strong>\u20b9<\/strong><strong>90.00 Cr<\/strong>; with the\u00a0<strong>balance\u00a0<\/strong><strong>\u20b9<\/strong><strong>41.00 Cr being funded through internal accruals<\/strong>. Expected to be\u00a0<strong>recommissioned in Q1 FY27-28<\/strong>, the facility will strengthen backward integration and support the Company\u2019s downstream polyester manufacturing operations.<\/p>\n<p class=\"wp-block-paragraph\"><strong>Key Terms of Rights Issue:<\/strong><\/p>\n<ul class=\"wp-block-list\">\n<li><strong>Rights Issue Size\u00a0<\/strong><strong>\u20b9<\/strong><strong>199.75 Cr\u00a0<\/strong><\/li>\n<li><strong>Shares Offered 16.84 Cr Equity Shares\u00a0<\/strong><\/li>\n<li><strong>Issue Price\u00a0<\/strong><strong>\u20b9<\/strong><strong>11.86 Per Share\u00a0<\/strong><\/li>\n<li><strong>Face Value\u00a0<\/strong><strong>\u20b9<\/strong><strong>2 Per Share\u00a0<\/strong><\/li>\n<li><strong>Entitlement Ratio 8 Rights Shares for every 25 Shares Held\u00a0<\/strong><\/li>\n<li><strong>Record Date June 12, 2026\u00a0<\/strong><\/li>\n<li><strong>Issue Opened June 22, 2026\u00a0<\/strong><\/li>\n<li><strong>Last Date for Renunciation July 15, 2026\u00a0<\/strong><\/li>\n<li><strong>Issue Closes July 20, 2026<\/strong><\/li>\n<\/ul>\n<p class=\"wp-block-paragraph\"><strong>Proposed Utilisation of Net Proceeds (<\/strong><strong>\u20b9\u00a0<\/strong><strong>194.90 Cr)<\/strong><\/p>\n<ul class=\"wp-block-list\">\n<li><strong>Working Capital Support (<\/strong><strong>\u20b9<\/strong><strong>100.00 Cr):\u00a0<\/strong>To strengthen working capital requirements, support higher production volumes, and ensure efficient procurement of raw materials.<\/li>\n<li><strong>Nakoda Asset Integration (<\/strong><strong>\u20b9<\/strong><strong>49.90 Cr):\u00a0<\/strong>To facilitate the integration, operationalization, and ramp-up of acquired assets of Nakoda Limited.<\/li>\n<li><strong>Debt Repayment (<\/strong><strong>\u20b9<\/strong><strong>23.00 Cr):\u00a0<\/strong>To prepay existing borrowings, reduce finance costs, and strengthen the Company\u2019s balance sheet.<\/li>\n<li><strong>6.5 MW Solar Power Plant (<\/strong><strong>\u20b9<\/strong><strong>22.00 Cr):<\/strong>\u00a0To establish a captive solar power plant, reduce energy costs, and enhance long-term energy security and sustainability.<\/li>\n<\/ul>\n<p class=\"wp-block-paragraph\">Strategically, the proposed capital allocation is focused on four key pillars \u2013\u00a0<strong>manufacturing scale-up<\/strong>,\u00a0<strong>asset integration<\/strong>,\u00a0<strong>balance sheet strengthening<\/strong>, and\u00a0<strong>energy security<\/strong>. Together, these initiatives are expected to enhance operational resilience, improve resource efficiency, and strengthen the Company\u2019s long-term growth platform. The planned investments are intended to strengthen Sumeet Industries\u2019 competitive positioning while supporting sustainable and profitable growth over the long term.<\/p>\n<p class=\"wp-block-paragraph\">The capital raised through the Rights Issue will support Sumeet Industries next phase of growth by strengthening working capital, accelerating the integration of acquired manufacturing assets, optimizing the capital structure through debt reduction, and enhancing energy security through a captive solar power facility. These initiatives are expected to improve operational efficiency, expand manufacturing capabilities.\u00a0<strong>Issue De<\/strong><\/p>\n<figure class=\"wp-block-table\">\n<table class=\"has-fixed-layout\">\n<tbody>\n<tr>\n<td><strong>Commenting on the Rights Issue, Mr. Pratik R. Jaju, Managing Director of Sumeet Industries<\/strong>\u00a0<strong>Limited<\/strong>\u00a0said, \u201cThe Rights Issue marks an important milestone in Sumeet Industries\u2019 growth journey and reflects our commitment to strengthening the Company\u2019s operational and financial position. We are pleased to offer our existing shareholders an opportunity to participate in the Company\u2019s future growth.The proposed fund raise of\u00a0\u20b9199.75 Cr will support key strategic priorities, including working capital requirements, integration of acquired manufacturing assets, debt reduction, and investment in a captive solar power facility. A key focus area will be the operationalisation of the recently acquired Polyester Chips manufacturing facility from Nakoda Limited, which is expected to strengthen backward integration and enhance our integrated polyester value chain.This acquisition will support our downstream POY and FDY operations, enhance operational scale, and provide a strong platform for future growth. Driven by the anticipated benefits of this acquisition and its integration, the Company expects approximately 30% growth in Total Income during FY 2026-27, with EBITDA margins in the range of 5.0%\u20136.0%. Following the successful integration of the acquisition, Total Income is expected to nearly double in FY 2027-28, while EBITDA margins are expected to improve to 5.5%\u20136.5%.As we continue to focus on expanding our presence across the polyester value chain, strengthening backward integration, we believe this Rights Issue will further position the Company to capitalize on emerging growth opportunities and deliver sustainable long-term value for all stakeholders.\u201d<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/figure>\n<p class=\"wp-block-paragraph\"><strong>About\u00a0<\/strong><strong>Sumeet Industries<\/strong><strong>\u00a0Limited<\/strong><\/p>\n<p class=\"wp-block-paragraph\">Incorporated in 1988, Sumeet Industries Limited is a Surat-based integrated polyester manufacturer engaged in the production of Pet Chips, Partially Oriented Yarn (POY), Fully Drawn Yarn (FDY), and Polyester Texturized Yarn. The company has been taken over by the Eagle Group, Successful Resolution Applicant, in pursuance of the Hon\u2019ble NCLT order dated 16 July 2024. The promoters of Eagle Group are seasoned technocrats with over 40 years of experience in the textile industry, bringing strong operational and strategic expertise to the company.<\/p>\n<p class=\"wp-block-paragraph\">With over four decades of experience, Sumeet Industries operates a technologically advanced manufacturing facility equipped with international-standard quality testing and R&amp;D infrastructure for developing a wide range of yarns and applications.\u00a0The Board has approved Phase 1 of the polyester yarn capacity expansion, involving an addition of 15,000 tonnes per annum with an investment of\u00a0\u20b930 Cr, aimed at strengthening the company\u2019s presence in the value-added synthetic yarn segment while supporting scale and profitability.\u00a0<\/p>\n<p class=\"wp-block-paragraph\">The company has also invested 27% stake in HI-URJA TECHNO LLP, a Solar Power Generating Plant which has installed capacity of 14 MW as a Captive consumer and has been sourcing solar. Apart from this the company has also been weighing to source to get Renewal power (Solar, Wind and Both) under Captive\/Group captive from various Generators<\/p>\n<p class=\"wp-block-paragraph\">Sumeet Industries is also focusing on developing value-added yarns, introducing Bright and dope dyed yarn, and widening its product range to cater to diverse applications within the domestic textile industry.<\/p>\n<p class=\"wp-block-paragraph\">In FY26, the company recorded revenue of\u00a0\u20b91,053.81\u00a0Cr, EBITDA of\u00a0\u20b960.77 Cr, and Profit After Tax (Including Exceptional Item) of\u00a0\u20b927.33 Cr.<\/p>\n<p class=\"wp-block-paragraph\"><em>If you object to the content of this press release, please notify us at pr.error.rectification@gmail.com. We will respond and rectify the situation within 24 hours.<\/em><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Surat (Gujarat) [India], June 23: Sumeet Industries\u00a0Limited,\u00a0(NSE Code: SUMEETINDS, BSE Code: 514211),\u00a0one of the leading integrated polyester manufacturers engaged in&hellip;<\/p>\n","protected":false},"author":1,"featured_media":27754,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[13],"class_list":["post-27753","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","tag-business"],"_links":{"self":[{"href":"https:\/\/wowentrepreneurs.in\/index.php\/wp-json\/wp\/v2\/posts\/27753","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/wowentrepreneurs.in\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/wowentrepreneurs.in\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/wowentrepreneurs.in\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/wowentrepreneurs.in\/index.php\/wp-json\/wp\/v2\/comments?post=27753"}],"version-history":[{"count":0,"href":"https:\/\/wowentrepreneurs.in\/index.php\/wp-json\/wp\/v2\/posts\/27753\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/wowentrepreneurs.in\/index.php\/wp-json\/wp\/v2\/media\/27754"}],"wp:attachment":[{"href":"https:\/\/wowentrepreneurs.in\/index.php\/wp-json\/wp\/v2\/media?parent=27753"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/wowentrepreneurs.in\/index.php\/wp-json\/wp\/v2\/categories?post=27753"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/wowentrepreneurs.in\/index.php\/wp-json\/wp\/v2\/tags?post=27753"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}