Corporate Feature     

Published: January 31, 2024
Updated: January 31, 2024

Salasar Techno Engineering Ltd

Record date fixed at Feb 1, for 4:1 bonus issue

Salasar Techno Engineering Ltd (STEL) (BSE: 540642, NSE: SALASAR), engaged in manufacturing large & heavy steel structures, and providing customized steel structures and EPC solutions to a diverse range of industries, including telecom, power and railways, has announced that its board has fixed February 1, 2024 as the record date for the purpose of ascertaining the eligibility of shareholders for bonus shares, subject to the approval of shareholders obtained through the postal ballot notice.

Earlier, the board recommended the issue of bonus shares in the proportion of 4:1; i.e., 4 new fully paid-up bonus equity shares of Re 1 each for every existing fully paid-up equity share of Re 1 held by the members of the company as on the record date, subject to shareholders’ and other statutory approvals.

Earlier, the company was awarded a Kerala contract valued at Rs 3,640 million. The contract focuses on execution of loss reduction work in turnkey mode. It signals a significant milestone for the company, involving a comprehensive scope of work aimed at enhancing the power infrastructure in Erode district of Tamil Nadu. Under the contract, STEL is entrusted with the supply, erection and installation of feeder segregation, high voltage distribution system, separation of double distribution transformer, and augmentation of 33 KV Lines. The contract further strengthens the company’s order book and is expected to get completed within 36 months, yielding heathy EBITDA margins.

TURNKEY ‘TIGER’

Commenting on the order win, the management team of STEL said, “We are delighted to announce a significant achievement that underscores our commitment to excellence and our capabilities in delivering cutting-edge infrastructure solutions. STEL has secured a monumental EPC contract valued at Rs 3,640 million from the Tamil Nadu Generation and Distribution Corporation Limited (TANGEDCO). The contract focuses on executing loss reduction work in the turnkey mode. We will handle every aspect of the project, from design and engineering to manufacturing, testing, supply, erection and installation of feeder segregation, high voltage distribution system, separation of double distribution transformer, and augmentation of 33 KV lines. The project will be executed in successive phases.”

Incorporated in 2006, Salasar Techno Engineering Limited is a provider of customized steel fabrication & infrastructure solutions in India. It provides 360-degree solutions by carrying out engineering, designing, fabrication, galvanization and deployment. STEL’s product portfolio includes telecommunication towers, power transmission line towers, smart lighting poles, utility poles, high mast poles, stadium lighting poles, monopoles, substation structures, solar module mounting structures, railway electrification (OHE), road & railway over-bridges (ROBs) and customised galvanized & non-galvanized steel structures. STEL’s services include providing complete engineering, procurement & control (EPC) for projects such as rural electrification, power transmission lines and solar power plants.

STEL is among the leading manufacturers with a current installed capacity of 2,11,000 mtpa having been supplied, 50,000+ Telecom Towers, ~746 km of power transmission lines, and ~629 km of railway track, to 600+ clients in 25+ countries.

Salasar Techno Engineering Ltd. (STEL)

(BSE: 540642, NSE: SALASAR) engaged in manufacturing of large & heavy steel structures, and providing customized steel structures and EPC solutions to diverse range of industries including telecom, power, railways and others, has announced that in its board meeting held on 25 January 2024, the board has approved fund raise of Rs. 8064 Mn by the way of issue of shares and convertible warrants on preferential basis, to various promoter and non-promoter entities, subject to approval of shareholders and other regulatory authorities, as may be applicable.

The shares and/or warrants will be issued to North Star Opportunities Fund, NAV Capital VCC – NAV Capital Emerging Star Fund, Coeus Global Opportunities Fund, Elara India Opportunities fund, etc. within the non-promoter group category. Within the promoters, the warrants will be issued to Shashank Agarwal, Shalabh Agarwal, Raghav Agarwal and Bharat Agarwal.

Earlier, the board fixed February 01, 2024 as record date for the purpose of ascertaining the eligibility of shareholders for entitlement of bonus shares in the proportion of 4:1 i.e. 4 new fully paid-up bonus equity share of Rs.1 each for every 1 existing fully paid-up equity share of Rs. 1 each held by the Members of the Company, subject to the approval of shareholders being obtained through the postal ballot notice. The proposed allottees of equity shares and warrants proposed to be issued on preferential to the persons belonging to “Promoter” and “Non-Promoter, Public Category” shall also be entitled of 4 fully paid up bonus shares for each equity share and warrants so issued, in the ratio of 4:1, as the issue price for the preferential allotment has been determined before the corporate action and the record date

Earlier, the company was awarded a contract, valued at Rs. 3,640 Million. The contract focuses on execution of Loss Reduction work in Turnkey Mode. The contract signals a significant milestone for The Company, involving a comprehensive scope of work aimed at enhancing the power infrastructure in Erode district of Tamil Nadu. Under the contract, STEL is entrusted with the Supply, Erection, and Installation of Feder Segregation, High Voltage Distribution System, Separation of Double Distribution Transformer, and Augmentation of 33KV Lines. The above contract further strengthens the order book and is expected to get completed within 36 months, yielding heathy EBITDA margins.

Commenting on the order win, the management team of STEL said: “We are delighted to announce a significant achievement that underscores our commitment to excellence and our capabilities in delivering cutting-edge infrastructure solutions. STEL has secured a monumental EPC contract valued at Rs. 3,640 million from the Tamil Nadu Generation and Distribution Corporation Limited (TANGEDCO). The contract focuses on executing loss reduction work in the Turnkey Mode. We will handle every aspect of the project, from design and engineering to manufacturing, testing, supply, erection, and installation of Feder Segregation, High Voltage Distribution System, Separation of Double Distribution Transformer, and Augmentation of 33KV Lines. The project will be executed in successive phases.”

Incorporated in 2006, Salasar Techno Engineering Limited is a provider of customized steel fabrication & infrastructure solutions in India. It provides 360-degree solutions by carrying out engineering, designing, fabrication, galvanization and deployment. STEL’s product portfolio includes telecommunication towers, power transmission line towers, smart lighting poles, utility poles, high mast poles, stadium lighting poles, monopoles, substation structures, solar module mounting structures, railway electrification (OHE), Road & Railway Over-Bridges (ROB) and customised galvanized & non-galvanized steel structures. STEL’s services include providing complete Engineering, Procurement & Control (EPC) for projects such as rural electrification, power transmission lines and solar power plants. STEL is among the leading manufacturers with the current installed capacity of 2,11,000 MTPA having supplied, 50,000+ Telecom Towers, ~746 km of Power Transmission Lines, ~629 km Railway Track, to 600+ clients in 25+ Countries.