Rights Issue Announcement
Ratnaveer Precision Engineering Limited announced that its INR 329.99 crore rights issue has closed with an overall subscription of 1.11 times, indicating strong participation from eligible shareholders and rights‑entitlement holders. The issue comprised 12,499,669 fully paid‑up equity shares priced at INR 264 per share, issued in a 7‑rights‑equity‑shares for every 40 shares held ratio based on the record date of 26 August 2026. Allotment will be finalized on 10 September 2026, after which the shares will be credited to demat accounts and listed on both the NSE and BSE on 15 September 2026. MUFG Intime India Private Limited is appointed as the registrar for the issue.
Funding Allocation and CCL Plant Progress
The proceeds from the rights issue form part of a broader INR 650 crore funding package earmarked to support Ratnaveer’s INR 472.34 crore Copper Clad Laminate (CCL) project in Vadodara. The CCL plant, which marks the company’s strategic entry into the electronics‑materials value chain beyond its core stainless‑steel business, is currently about 60 % complete. Machinery, technology partnerships and the core operating team are reported to be in place ahead of the ramp‑up. Commercial production is targeted for November 2026. The project has secured approvals under the Government of India’s ECMS scheme and Gujarat’s Electronics Policy.
Industry Context and Market Tailwinds
The timing of the plant’s commissioning coincides with a pronounced price inflection in the global CCL industry. Global CCL and prepreg prices have undergone multiple rounds of increases, driven by tight supply and rising input costs. FR‑4 laminate prices have risen sharply during 2026, reflecting sustained pricing pressure across the sector. Industry revenues have shown strong year‑on‑year growth, while improving gross margins point to enhanced pricing power and profitability. Upstream inputs such as electronic glass fabric, HVLP copper foil and PPO resin remain in tight supply, with several producers operating at full capacity. Additionally, a possible extra 7.5 % U.S. tariff on Chinese electronics materials could further increase cost pressures across the global supply chain. For Ratnaveer, this environment provides a significant tailwind: CCL is a high‑value input in the PCB value chain, and India remains heavily import‑dependent for it. Industry data suggests that while raw material costs have risen modestly, CCL prices have surged sharply over the past 12 months, creating a gap that could translate into substantial margin expansion once the plant reaches full operation.
Company Overview
Ratnaveer Precision Engineering Limited manufactures stainless‑steel finished products, including fasteners, wires, washers and solar‑roofing hooks, and is expanding into CCL manufacturing to serve India’s growing electronics and PCB industry.
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