Revenue rose 60.4% year-on-year to ₹1,770.48 crore from ₹1,103.76 crore.
Earnings before interest, tax, depreciation and amortisation (EBITDA) increased 43.6% year-on-year to ₹84.65 crore from ₹58.95 crore. EBITDA margin, however, stood at 4.8% compared with 5.3% in the year-ago period.
The company has proposed issuing 37.5 lakh 12% Compulsorily Convertible Debentures at a face value of ₹400 each, aggregating ₹150 crore. The CCDs will be issued for cash through a preferential issue on a private placement basis, subject to shareholder and other statutory approvals.
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Each CCD will compulsorily convert into one fully paid-up equity share of ₹1 within 18 months from allotment. Conversion can take place any time after 12 months but not later than 18 months from the date of allotment, at the option of the CCD holder.
The CCDs will carry a coupon rate of 12% per annum, with interest payable in three instalments after 180 days, 360 days and for the remaining period up to conversion. The CCDs will be unlisted, unsecured and unrated, and will be issued in dematerialised form.
The proposed issue will be subscribed by Anchorage Capital Scheme III (Category II Alternative Investment Fund), which will subscribe to 20 lakh CCDs, and AADI Financial Advisors LLP, which will subscribe to 17.5 lakh CCDs. Both are non-promoter investors.
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The proceeds will be used to fund new, ongoing and future expansion and modernisation projects, capital expenditure and other business-related projects, including long-term business investments. The funds will also be used to meet the company’s working capital requirements.
The proposed preferential issue is subject to approval from shareholders through a special resolution at the Extraordinary General Meeting, in-principle approval from the National Stock Exchange of India and other applicable approvals.
Precision Wires has also revised the capacity of its Silvassa Expansion and Modernisation Project to 4,620 tonnes per annum from the earlier approved 3,920 tonnes per annum. The project cost remains ₹38 crore. Following completion, the company’s net effective installed capacity is expected to reach 69,200 tonnes per annum by the end of FY28.
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As part of its succession planning, Mohandas Pai, who has reached retirement age, is stepping down as Chief Financial Officer and Key Managerial Personnel. The Board has approved the appointment of Deputy CFO Krina Parekh as Chief Financial Officer and Key Managerial Personnel with immediate effect.
The company has also secured an unsecured working capital facility of ₹200 crore from IDFC First Bank.
Shares of Precision Wires India Ltd ended at ₹430.55, up by ₹16.95, or 4.10%, on the BSE.
