Sunlite Recycling Industries Announces ₹37 Crore Strategic Expansion of Manufacturing Capacity
Sunlite Recycling Industries Limited has announced a strategic expansion aimed at strengthening its manufacturing capabilities to meet the increasing demand from domestic and international markets. The expansion will be executed through the Company's wholly owned subsidiary, Sunlite Aluminium Private Limited, alongside capacity increases within Sunlite Recycling Industries Limited itself.The company anticipates that these projects will be completed by Q1 FY2027-28, with financing planned through a combination of internal accruals and bank borrowings. The total investment for the expansion is approximately ₹37 Crore.
Copper Products Expansion Details
Sunlite Recycling Industries Limited is expanding its copper products capacity significantly. The capacity enhancements are detailed below:| Particulars | Existing Capacity | Post Expansion |
|---|---|---|
| Annual Capacity | 25,000 MT | 45,000 MT |
| Capacity Addition | - | 20,000 MT |
| Capacity Utilisation | 93.61% | - |
The existing capacity is maintained by the Holding Company, while the proposed capacity expansion is undertaken through its wholly owned subsidiary, Sunlite Aluminium Private Limited.
Value Added Products and Technology Investment
In the area of value added products, the company's plans include an expansion that involves a dedicated investment of ₹13 Crore. This investment will facilitate the installation of advanced copper processing technologies to enhance quality, precision, and operational efficiency in manufacturing value added copper products.The planned improvements within this segment are outlined as follows:
| Particulars | Existing Capacity | Post Expansion |
|---|---|---|
| Annual Capacity | 2,540 MT | 3,540 MT |
| Capacity Addition | - | 1,000 MT |
| Capacity Utilisation | 50.17% | - |
Advanced Manufacturing Technology Highlights
The expansion includes installing specialized advanced manufacturing technologies crucial for high quality production:- Upward Continuous Casting (Upcast) Machine: This machine will be installed for the continuous casting process of Oxygen Free Copper (OFC) Rods. The technology ensures superior copper purity, high electrical conductivity, and consistent metallurgical properties, making the OFC rods suitable for demanding industrial and electrical applications. These rods will also serve as primary raw material for the Company's downstream busbar manufacturing operations.
- Conform Continuous Extrusion Machine: This machine will utilize the OFC rods manufactured via the Upcast process to produce high quality Copper Busbars through continuous extrusion. The technology is expected to result in premium busbars with enhanced dimensional accuracy and excellent surface finish, designed for critical electrical applications.
This advanced capability aims to strengthen the company's value added product portfolio, catering to sectors such as Power Transmission & Distribution, Transformers, Switchgear & Control Panels, Renewable Energy, Electric Vehicles (EVs), Data Centres, and Industrial Electrical Infrastructure.
Strategic Significance of the Expansion
The proposed capacity expansion is set to align with Sunlite’s long-term vision by:- Strengthening manufacturing capabilities across key product segments.
- Enhancing the ability to cater to growing customer demand in domestic and international markets.
- Expanding the portfolio of value added products and supporting business diversification.
- Improving operational efficiency and reinforcing long-term competitiveness.
- Creating a stronger foundation for sustainable growth and long-term value creation.
Commenting on the announcement, Mr. Nitin Heda, Managing Director, stated that the expansion reflects the commitment to strengthening the manufacturing platform and preparing the Company for its next phase of growth. He added that through disciplined investments and continuous innovation, the company aims to create sustainable long-term value while enhancing operational capabilities and broadening its product portfolio.
About Sunlite Recycling Industries Limited
Sunlite Recycling Industries Limited, established in 2012, specializes in manufacturing high quality copper products from recycled scrap at its state-of-the-art facility located in Kheda, Gujarat. The Company processes globally sourced copper scrap, including material from Saudi Arabia, UAE, USA, and India, converting it into high quality copper solutions for various applications across domestic, industrial, automotive, power generation, transmission & distribution, and electronic sectors.SUNLITE Stock Price Movement
As of 11:42 AM, shares of Sunlite Recycling Industries Limited are slipping by 3.97% in live trading, currently priced at ₹427.05 as the stock faces downward pressure. So far today, the equity has seen a volume of 11,700 shares traded.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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