The company said in a filing that the idea of roping in Salman Khan to promote the TMT business is part of the company’s four-fold expansion plan in metal capacity comprising intermediate and final products. It is ramping up capacities across its manufacturing plants (located in Odisha’s Sambalpur and West Bengal’s Jamuria and Mangalpur) and captive power plants.
From the sale of 1.07 lakh tons of Long Steel products in FY17, it has grown to sell 6.37 lakh tons in FY 2020-21. Post the current brownfield expansion under implementation, it proposes to ramp up this capacity to 20 lakh tons of branded value-added products. Additionally, the company is in the process of commissioning an aluminium foil rolling mill at Pakuria in West Bengal. This expansion plan will help generate more job opportunities across the product value chain.
“Our continued focus on making high quality products and ensuring they reach the last mile lets us participate in building a modern India. We believe in manufacturing real steel with real strength and investing in real people. Our Long products (comprising TMT Rebars, Wire Rods and Structural products) are sold under the brand name SEL that deliver attributes of Strength, Elasticity and Longevity.
These attributes are synonymous with Mr. Salman Khan and makes him a perfect fit for the brand. This association will strengthen our brand recall and position our unique offering, both to our customers and end-users. We believe the key to our brand journey is to stay relevant to the emergent needs of the consumer at every point of the construction journey,” Joint Managing Director Sanjay Agarwal, said.
Commenting on this development, Khan said that he is very happy with the partnership and looking forward to a long and fruitful association. “I have gone through the journey of the company and am excited to be part of the brand building exercise of SEL TMT, with their fast-paced expansion plans and future-ready capabilities” he said.
Recently, the company had a successful IPO in June 2021 with over subscription of 121 times in the retail category. The current Market Capitalization of the company is ~Rs10,800 crores, making it among the top 7 steel players in the country in the listed space. The company is amongst the largest producers of Ferro Alloys, one of the leading players in terms of Pellet capacity and the 4th largest player in the Sponge Iron industry. The company primarily produces Intermediate and Long Steel products, such as Iron Pellets, Sponge Iron, Steel Billets, TMT, Structural products, Wire Rods, and Ferro Alloy products.
Shyam Metalics & Energy Ltd was trading at Rs411.60 per piece down by Rs1.8 or 0.44% from its previous closing of Rs413.40 per piece on the BSE.