Century Extrusions files LOF for ₹4,500 crore rights issue at ₹15 per share

ScanX News Century Extrusions files LOF for ₹4,500 crore rights issue at ₹15 per share 1 min read | Published on 02 Sept 2026, 08:42 PM | Updated on 08 Sept 2026, 10:24 PM Reviewed by Add as a preferred source on Google *this image is generated using AI for illustrative purposes only. Century Extrusions has filed its Letter of Offer for a proposed rights issue of up to ₹4,500 crore. The Board of Directors approved the final terms on September 8, 2026. The company will issue partly paid-up equity shares to existing shareholders. Issue Details The company proposes to issue up to 3 crore partly paid-up equity shares at a price of ₹15 per share. This includes a face value of ₹1 and a premium of ₹14. The issue is offered in the ratio of 3 Rights Equity Shares for every 8 Equity Shares held on the record date. Detail Information Issue Size Up to ₹4,500 crore Issue Price ₹15 per share (₹7.5 on application) Record Date September 15, 2026 Instrument Partly paid-up equity shares ISIN (Rights Entitlement) INE281A20018 Timeline and Payment Schedule The issue opens on September 23, 2026, and closes on October 14, 2026. Investors must pay ₹7.5 per share on application. The remaining balance of ₹7.5 per share is payable in not more than two subsequent calls by January 31, 2027. Event Date Record Date September 15, 2026 Issue Opening September 23, 2026 Issue Closing October 14, 2026 Listing October 19, 2026 Use of Proceeds The net proceeds of approximately ₹4,390 crore will be utilized for repaying unsecured loans (₹1,400 crore), funding working capital requirements for brownfield expansion (₹2,000 crore), and general corporate purposes (₹990 crore). Promoter Subscription The promoters and promoter group have confirmed they will fully subscribe to their entitlements. They may also subscribe to renounced entitlements and additional unsubscribed shares, subject to minimum public shareholding norms. Consequently, the minimum subscription criteria under Regulation 86(1) of the SEBI ICDR Regulations do not apply. Historical Stock Returns for Century Extrusions 1 Day 5 Days 1 Month 6 Months 1 Year 5 Years + 2. 25 % - 3. 69 % - 7. 00 % + 2. 44 % - 1. 75 % + 126. 35 % How will the ₹4,500 crore rights issue impact Century Extrusions' debt-to-equity ratio and overall credit rating given the significant loan repayment component? fuzz it What is the expected timeline for the brownfield expansion projects funded by this issue, and how will they influence the company's future capacity and revenue growth? fuzz it How might the dilution of existing shares affect the stock's price-to-earnings (P/E) multiple and market capitalization in the short term post-listing? fuzz it ScanX News Century Extrusions files LOF for ₹4,500 crore rights issue at ₹15 per share 1 min read | Published on 15 Aug 2026, 10:03 AM | Updated on 15 Aug 2026, 10:03 AM Reviewed by Add as a preferred source on Google *this image is generated using AI for illustrative purposes only. Century Extrusions reported a net profit of ₹3.77 crore for the quarter ended June 30, 2026, representing a 60% year-on-year (YoY) increase from ₹2.36 crore in Q1FY25. The company's revenue from operations grew 33% YoY to ₹138.36 crore, up from ₹104.15 crore in the corresponding period last year. The Board of Directors approved the unaudited standalone financial results on August 14, 2026. Statutory auditors carried out a limited review of the results. The company operates in two segments: manufacturing of aluminium extruded products and transmission and distribution line equipment. Financial Performance Revenue growth was accompanied by a rise in cost of materials consumed, which increased to ₹122.62 crore from ₹80.06 crore in Q1FY25. However, changes in inventories provided a buffer, with a reduction of ₹14.12 crore compared to ₹1.70 crore in the prior year quarter. Metric Q1FY26 Q1FY25 Change Revenue from Operations ₹138.36 crore ₹104.15 crore +33% Total Income ₹138.49 crore ₹104.21 crore +33% Total Expenses ₹133.47 crore ₹101.07 crore +32% Net Profit Before Tax ₹5.02 crore ₹3.14 crore +60% Net Profit After Tax ₹3.77 crore ₹2.36 crore +60% EPS (Basic) ₹0.47 ₹0.30 +57% Other income declined to ₹13 lakh from ₹6 lakh in the previous year quarter but remained minimal relative to total income. Finance costs rose to ₹37.0 lakh from ₹26.7 lakh, while employee benefits expense increased to ₹54.4 lakh from ₹49.5 lakh. What the Numbers Show The divergence between revenue growth and profit expansion highlights the impact of inventory management on margins. While material costs rose sharply alongside revenue, the significant reduction in inventory levels (₹14.12 crore vs ₹1.70 crore YoY) contributed positively to the bottom line. This suggests that the company may have drawn down existing stock rather than proportionally increasing raw material purchases for the current production cycle, temporarily boosting profitability despite higher input costs. Historical Stock Returns for Century Extrusions 1 Day 5 Days 1 Month 6 Months 1 Year 5 Years + 2. 25 % - 3. 69 % - 7. 00 % + 2. 44 % - 1. 75 % + 126. 35 % Will the profit margin expansion driven by inventory drawdowns be sustainable in subsequent quarters as stock levels normalize? fuzz it How will rising aluminium commodity prices impact the company's ability to pass on cost increases to customers in the transmission and distribution segment? fuzz it What is the current order book visibility for Century Extrusions, and does it support the 33% revenue growth trajectory for the full fiscal year? fuzz it view all Century Extrusions reports FY26 net profit of ₹1,057 lakh May 28, 2026 Century Extrusions Changes RTA Effective May 8 May 14, 2026