Specialty steel maker Goodluck India to raise Rs 96 crore

Specialty steel maker Goodluck India to raise Rs 96 crore

Specialty steel producer Goodluck India on Wednesday said it plans to raise Rs 96 crore through issuance of shares, warrants on preferential basis.

In a regulatory filing, the company also informed incorporating wholly-owned subsidiary Goodluck Defence and Aerospace Pvt Ltd to carry on the business in the defence sector.

The company plans to issue up to 5 lakh warrants, on a preferential basis to the promoter category, at an exercise price of Rs 600 per share of face value of Rs 2 each, it said.

Besides, the company will issue up to 11 lakh equity shares, on a preferential basis to the non-promoter category, at an exercise price of Rs 600 per share of face value of Rs 2 each.

The total fund proposed to be raised is Rs 96 crore, of which Rs 40 crore will be used as an investment in the new subsidiary, the filing said.

MC Garg, Chairman, Goodluck India, said the country is on the cusp of innovation and an industrial renaissance, with the government's sharp focus on Make in India, Aatmanirbhar Bharat, and a vision for a developed economy by 2047.

"The defence and aerospace sectors will be at the epicentre of the vision, which is why we have decided to channel our experience and expertise through a wholly-owned subsidiary dedicated to exploring larger opportunities in these high-growth sectors," he said.

Goodluck India is into manufacturing of a wide range of engineered steel structures, precision/auto tubes, forging for defence and aerospace, CR (cold rolled) products and GI (galvanised iron pipes) pipes.

These products are used by automobile manufacturers, infrastructure companies, industries like engineering, oil and gas, among others.