Transaction Overview
Lloyds Engineering Works Limited (LEWL) has acquired a controlling stake in Steel Infra Solutions Company Limited (SISCOL) at an equity valuation of approximately ₹1,220 crore. Prime Securities Limited acted as the sole advisor and exclusive investment banker for this transaction.
Target Company Details (SISCOL)
- Incorporated in 2017
- Business: Design, engineering, fabrication, supply and erection of structural steel solutions
- Projects executed: 187 structural steel projects across 22 states
- Notable projects: Delhi Airport Terminal 1, Noida International Airport at Jewar, Dwarka Convention Centre, International Hockey Stadium at Rourkela, International Tech Park Bengaluru
- Manufacturing infrastructure: 6 fabrication facilities and 4 in-house engineering and design centers
- Current capacity: ~100,000 MTPA structural steel fabrication
- FY26 financial performance: Operating revenues of ₹~817 crore, EBITDA of ₹~92 crore, PAT of ₹~44 crore
- Order book: ₹~1,134 crore
Acquirer Company Details (LEWL)
- Description: Diversified infrastructure solutions company with capabilities across precision heavy structural fabrication, industrial equipment, defence, electrical engineering and EPC
- Growth trajectory: Revenue growth from ₹~98 crore in FY19 to over ₹3,000 crore currently
- Current order book: ₹8,000+ crore
- Market capitalization: ₹~12,800 crore
- Listed on both stock exchanges
Transaction Structure and Impact
- Funding: Combination of cash and equity
- Capacity expansion: Post-transaction, SISCOL's capacity will double from 100,000 to 200,000 MTPA, making it the largest structural steel fabrication company in India
- Operational synergies: Expected across procurement, project management, engineering, manufacturing planning and corporate functions
- Brand and management: SISCOL will continue to operate under its existing brand and leadership with Ravi Uppal continuing as Chairman and Managing Director, supported by the existing senior management team
Management Commentary
Ravi Uppal, Chairman and Managing Director of SISCOL: Expressed excitement about joining Lloyds Group, noting complementary strengths and business synergies that will provide access to new business opportunities. Believes steel-based infrastructure and core industries are poised for double-digit growth for at least another two decades.
Shreekrishna Gupta, Executive Director of LEWL: Described the acquisition as building a platform for the future, combining SISCOL's engineering talent and structural design expertise with Lloyds Engineering's EPC strengths and manufacturing capabilities to create one of India's leading integrated engineering and infrastructure companies.
N Jayakumar, Group CEO & MD of Prime Securities Limited: Expressed delight in playing a role in this strategic consolidation in the infrastructure space, expecting significant value creation for both sets of shareholders. Noted this as one of Prime's largest transactions, positioning the firm for more consolidations in related areas.
Regulatory and Additional Information
- The disclosure is being made considering the materiality of the revenues to be earned by Prime Securities from this transaction
- Document signed by Ajay Jitendra Shah, Company Secretary (ACS-14359) of Prime Securities Limited
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