Diamond Power Infrastructure Ltd Company Summary

Diamond Power Infrastructure Ltd Summary

Diamond Power Infrastructure Limited, established on August 26, 1992, is an integrated solutions provider in Power T&D space in India. Primarily established as a conductor manufacturer in 1970 by Mr. S N Bhatnagar, a first generation technocrat, Diamond Power achieved greater integration post completion of is expansion projects during 2010-11. Company is engaged in manufacturing business of Conductor, Cables and Transmission Towers. It provides turnkey services in T&D, manufactures Power Cables upto 550KV, Power & Distribution Transformers upto 220KV, Transimission and Distribution Conductors upto 765KV and Transmission Towers. At present, it commands presence across the value chain -conductors, cables (LT, HT & EHV), transformers (power and distribution), transmission towers and EPC services. With 9 manufacturing locations and headquarter, all located in Vadodara, Gujarat; the Company also has more than 100 distributors across 16 Indian states.The companys businesses include cables and conductors, transformers and EPC projects. Their product portfolio includes power and control cables, specialty cables, transmission and distribution conductors, and power and distribution transformers. They are having a subsidiary, namely Diamond Power Transformers Ltd.The company cables are sold under the brand name DICABS and they are preferred by a spectrum of utilities like Refineries, Cement Plants, Power Plants, Engineering Industries, Pharmaceutical units among several others and are also sold through a large dealer network. In year 1994, the company set up a small LT power cables manufacturing facility at Vadadala, Gujarat, in a bid to extend their Conductors Business. During the year 1999-2000, the company commenced commercial production of their backward integration cum expansion unit at Vadadala, Salvi, Gujarat to manufacture Aluminium and Alloy Wire rods. Also, they commenced production at their Silvassa plant.During the year 2004-05, the company increased the production capacity of Aluminum Alloy & ACSR Conductors by 18350 MTPA to 45000 MTPA. During the year 2005-06, they further increased the production capacity of Aluminum Alloy & ACSR Conductors by 5500 MTPA to 50500 MTPA.During the year, the company launched their power business in collaboration outsourcing with two key facilities in Himachal Pradesh and Rajasthan. The company launched an entire range of House Wires, Multi-core Flexibles, Panel Wires, CAT Cables and various types of Security Cables. In August 2006, the company ventures in EPC Contracts (Turnkey Contracts) under Government of India sponsored RGGVY to reach free electricity to the people below poverty line. In March 2007, the company acquired Western Transformers and in July 2007, they acquired Apex Electricals Ltd, which had the combined capacity of 15,000 MVA.During the year 2008-09, the company undertook EHV Cables, LT Cables and Transmission Line Project. In July 2008, the company commenced commercial production of HT Cables upto 132 KVA with a capacity of 2800 km with all imported plants from the Germany. The company has expanded HT cables line of 2500 km line along with an LT cables of over 25000 km, which is about to start production. They are also putting up plant to manufacture Extra High Voltage Plant 132 KVAs to 400 KVAs with an installed capacity of 2000 km per annum. The Company in 2010-11 commenced operations in Extra High Voltage (EHV) cables and power transformer units; commenced power transformer operations and in Oct 10, got into strategic JVs with Utkal Galvanizers, Skoda India and Schaltech Automation to increase their footprints in 220 KV and above EPC Projects.During March 2012, the Company invested Rs. 50 crore to commission its 6.3 MW windmills, purchased from Suzlon Energy, at Jamanwada, Kutch. In November 2012, it commissioned Ultra High Voltage Cable Testing Laboratory having a capability to 500 KV capacity in Vadodara. It embarked on Rs. 753 crore expansion programme for MV cables and conductors and acquired strategic stake in Maktel. In February 2014, it commissioned the Phase I of capacity expansion for 3000 kms in Medium Voltage (MV) cables and 50,000 MTPA in conductors businesses.The Company started operations under the new management since December, 2022 with part utilization of the infrastructure. Since then, it has progressed significantly under the new management. In first full year of operations i.e. 2023-24 itself, the Company has achieved robust turnover and attained profitability also despite not operating at full capacity. The Company was acquired by M/s GSEC Ltd in consortium with Mr. Rakeshbhai R. Shah and affiliate groups, through the Corporate Insolvency Resolution Process (CIRP) under the Insolvency & Bankruptcy Code (IBC) 2016. Pursuant to the NCLT Order and in accordance with the provisions of the Approved Resolution Plan, the following key events took place in the Company during the Financial Year 2022-23; The New Management with effect from 17th September, 2022 has taken control of the operations of the company. Pursuant to the NCLT order and approved resolution plan, 5,00,00,000 Equity Shares of Rs. 10/- each at PAR were issued and allotted to GSEC & its affiliates on 17th September, 2022. Further, there is a reduction of existing share capital of the Company as per the approved resolution plan, to the extent of 99% of the existing listed Share Capital of the Company w.e.f. 17th September, 2022.