Goodluck India ventures into defence and aerospace

Goodluck India successfully raises Rs 200 crore in QIP round, fuels growth and ventures into defence and aerospace sectors.

In a strategic move to fortify its financial position and propel growth, Goodluck India Ltd announced the triumphant closure of its Qualified Institutional Placement (QIP) round. The specialized engineered steel products manufacturer, listed on both BSE (530655) and NSE (GOODLUCK), issued and allotted 21,27,659 equity shares to Qualified Institutional Buyers (QIBs) at an issue price of Rs 940 per share, with a premium of Rs 938 per share, amassing a total of nearly Rs 200 crore.

The QIP round witnessed enthusiastic participation from esteemed investors, including BOFA Securities Europe SA-ODI, Société Générale-ODI, Morgan Stanley Asia (Singapore) Pte, NAV Capital VCC-NAV Capital Emerging Star Fund, and Ananta Capital Ventures Fund 1, signifying a vote of confidence in Goodluck India’s growth trajectory.

The raised capital is earmarked to bolster working capital requirements and support general corporate purposes. Out of the net proceeds, Rs 150 crore will be directed towards further fortifying the company’s working capital.

M.C. Garg, Chairman, Goodluck India, expressed satisfaction, stating, “The recently concluded round of fundraising is well in line with the company’s growth strategy.”

In a parallel move, Goodluck India has ventured into the defence and aerospace sector by establishing a wholly owned subsidiary, Goodluck Defence and Aerospace Pvt Ltd. The subsidiary aims to meet the specialized needs of the defence and aerospace industries through the setup of a dedicated manufacturing facility for specialized steel and alloys, with an estimated investment of around Rs 216.50 crore.

The financial health of Goodluck India is robust, as evidenced by its reported growth in total revenue, which saw an 8.9 per cent increase to Rs 1,744.01 crore in the first six months of the current fiscal year compared to Rs 1,601.51 crore in the corresponding period of the previous year. The EBITDA surged by an impressive 44.3 per cent to 141.76 crore in H1FY24, and the Profit After Tax (PAT) recorded a substantial growth of 55.9 per cent, reaching Rs 63.29 crore in H1FY24 as opposed to 40.59 crore in H1FY23.

Goodluck India’s dynamic expansion into new sectors, coupled with its robust financial performance, positions the company for sustained success and underscores its commitment to innovation and diversification in the ever-evolving industrial landscape.

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