Shyam Metalics gains after board approves Rs. 990 crore capex plans.

Shyam Metalics and Energy advanced 3.23% to Rs. 318.30 after the company said that the board has approved setting up of further capacities at its integrated units in Sambalpur and its material subsidiary's plant at Jamuria.

The aim of the capital expenditure is to capitalize business synergies and add facilities for continued cost leadership.

An aggregate amount of Rs. 990 crore is to be arranged from cash flows generated from internal accruals. The projects shall be set up as brownfield expansion in existing land available at respective plants.

Shyam Metalics and Energy (SMEL) is an integrated metal producing company based in India with a focus on long steel products and ferro alloys. It is amongst the largest producers of ferro alloys, one of the leading players in terms of pellet capacity and the fourth largest player in the sponge iron industry in terms of sponge iron capacity in India.

BS