Steel Exchange India Approves ₹700 Crore Fund Raise, Achieves Credit Upgrade
Filing Summary
Steel Exchange India Limited has announced Board approval for raising up to ₹700 crore, subject to necessary approvals. The funds may be raised through various instruments, including equity and debt options. The company has also achieved an investment-grade credit rating, with Infomerics Valuation and Rating Limited upgrading its bank facilities. The credit rating upgrade reflects improved operational performance and financial discipline. The proposed fund raise aims to enhance the company’s financial flexibility and support growth initiatives. The announcement was made on January 2, 2026, in Visakhapatnam.
Steel Exchange India Limited has announced that its Board of Directors has approved a proposal to raise funds aggregating up to ₹700 crore. This fund raise is subject to requisite statutory and regulatory approvals. The announcement was made on January 2, 2026, in Visakhapatnam. The company has also achieved an investment-grade credit rating status following the assignment and upgrade of its bank facilities by Infomerics Valuation and Rating Limited.
The proposed fund raising of up to ₹700 crore may be undertaken through one or more permissible instruments. These include equity shares, equity-linked instruments, debt instruments, convertible equity warrants, convertible securities, and non-convertible debentures (NCDs). The company has stated that the capital raise is intended to enhance its balance sheet and financial flexibility, supporting long-term growth initiatives.
Infomerics Valuation and Rating Limited has assigned and upgraded several loan facilities aggregating ₹398.56 crore. The Non-Convertible Debentures listed at ₹198.56 crore have been upgraded to IVR BBB-/Stable from CARE BB+/Stable. Long-term bank facilities, including term loans of ₹150 crore and cash credit of ₹10 crore, have been assigned and upgraded to IVR BBB-/Stable. Short-term bank facilities, such as a letter of credit amounting to ₹40 crore, have been upgraded to IVR A3 from IVR A4 Plus. The rating upgrade reflects improved operational performance, enhanced financial discipline, and better debt-servicing capability.
The proposed fund raise will support the company’s growth and expansion plans, including entry into specialty and value-added steel products under the Production Linked Incentive (PLI) Scheme. The improved credit rating is expected to assist the company in lowering borrowing costs and managing working capital more efficiently.
The timeline for the fund raise and the specific instruments to be used will depend on the receipt of necessary approvals. The company has not disclosed specific dates for the implementation of the fund-raising activities.
Steel Exchange India Limited is an integrated steel manufacturing company with a strong presence in long steel products. The company caters to infrastructure, construction, and industrial sectors across India. Its strategic focus includes enhancing operational efficiency and expanding its product offerings in line with market demands.