Shaily Engineering Plastics Ltd. Secures ₹423 Crore Pharma Contract, Plans Abu Dhabi Expansion

Shares of Shaily Engineering Plastics Ltd. are set to remain in focus on Thursday, February 26, after the company announced a significant manufacturing and commercial supply agreement valued at ₹423 crore.

The contract, signed with a major domestic pharmaceutical company, involves the supply of pen injectors over a four year period, according to an exchange filing made on Wednesday. The development strengthens the company’s presence in the growing drug delivery devices segment.

₹423 Crore Pen Injector Supply Deal Strengthens Order Book​

Under the agreement, Shaily Engineering will manufacture and supply pen injectors, reinforcing its positioning in the pharmaceutical devices ecosystem. The four year tenure of the contract provides revenue visibility and underlines sustained demand for its medical device capabilities.

The announcement comes at a time when the company is also scaling up its production infrastructure to meet rising demand.

Abu Dhabi Medical Devices Facility Planned with AED 130 to 150 Million Investment​

Alongside the contract win, the company reported its quarterly results and outlined plans to establish a new medical devices manufacturing unit in Abu Dhabi.

The proposed facility will involve an investment of AED 130 million to AED 150 million. It is expected to have an annual production capacity of 75 million pen injectors and is targeted to commence operations by the end of the financial year 2028.

This overseas expansion is aligned with management’s earlier stated objective of expanding pen manufacturing capacity.

Capacity Expansion to 100 Million Pens by December 2026​

Previously, the company had announced plans to double its pen capacity over the next few years. As part of this roadmap, Shaily Engineering committed ₹125 crore to expand its pen manufacturing capacity to 100 million units by December 2026, up from the current 40 million units.

The investment signals a structured approach toward scaling its medical devices vertical and supporting long term supply commitments.

Leadership Update: Joe Kam Appointed COO​

In a separate development, the company announced the appointment of Joe Kam as Chief Operating Officer, effective March 1, 2026.

Before joining Shaily Engineering, Kam held senior leadership roles at SHL Medical and most recently served as Senior Manufacturing Director, overseeing nine manufacturing facilities across the United States and Taiwan. He has also worked as Plant Manager and Senior Project Manager at Flextronics.

Stock Performance​

Shares of Shaily Engineering Plastics closed 0.2 percent lower at ₹1,941.5 in the previous session. The stock has declined 12.8 percent so far this year.

With a sizable pharmaceutical supply contract, overseas manufacturing expansion, and capacity ramp up underway, the company’s execution trajectory will remain closely tracked by market participants.