Sumeet Industries Limited has announced a ₹199.75 crore rights issue to finance a 140,000 tonnes per annum polyester chips plant acquisition, repay debt, and set up a captive solar power facility. The issue opens on June 22, 2026, and closes on July 20, 2026, with an entitlement ratio of 8 rights shares for every 25 shares held.
Rights Issue Details and Allocation
The company will issue 16.84 crore equity shares at ₹11.86 per share (face value ₹2). The net proceeds of ₹194.90 crore will be deployed as follows: ₹100 crore for working capital, ₹49.90 crore for integrating Nakoda Limited's assets, ₹23 crore for debt repayment, and ₹22 crore for a 6.5 MW captive solar power plant.
The rights issue is part of a broader strategy to enhance backward integration and operational efficiency. The acquired polyester chips plant from Nakoda Limited, with a total capital outlay of ₹90 crore, is expected to be recommissioned in Q1 FY27-28. The remaining ₹41 crore will come from internal accruals.
Strategic Benefits and Expected Growth
Managing Director Pratik R. Jaju stated, "The Rights Issue marks an important milestone in Sumeet Industries' growth journey... The proposed fund raise of ₹199.75 Cr will support key strategic priorities, including working capital requirements, integration of acquired manufacturing assets, debt reduction, and investment in a captive solar power facility."
The company expects a 30% growth in total income during FY 2026-27, with EBITDA margins between 5.0% and 6.0%. After full integration, total income is projected to nearly double in FY 2027-28, with EBITDA margins improving to 5.5%-6.5%.
About Sumeet Industries
Incorporated in 1988 and based in Surat, Sumeet Industries is an integrated polyester manufacturer producing PET chips, POY, FDY, and textured yarn. The company was taken over by the Eagle Group following an NCLT order in July 2024. The promoters bring over 40 years of textile industry experience.
The company has also approved Phase 1 of a polyester yarn capacity expansion, adding 15,000 tonnes per annum with an investment of ₹30 crore. Additionally, Sumeet holds a 27% stake in HI-URJA TECHNO LLP, a 14 MW solar power generating plant, and is exploring further renewable energy sourcing.
In FY26, the company reported revenue of ₹1,053.81 crore, EBITDA of ₹60.77 crore, and profit after tax of ₹27.33 crore.
