MM Forgings Limited has officially approved a comprehensive fundraising plan of up to ₹600 crores through its board meeting held on March 25, 2026. The board meeting, which commenced at 10:40 AM IST and concluded at 11:32 AM IST, formalized the company's capital expansion strategy through multiple funding mechanisms including Qualified Institutional Placement (QIP).

Board Meeting Outcomes and Fundraising Structure

The board has approved raising funds through various securities including equity shares, convertible debentures, and other eligible instruments. The comprehensive fundraising framework encompasses multiple components designed to provide maximum flexibility in capital raising:

The board noted that the proposed fundraising represents an enabling approval, with timing, size, and structure to be determined based on market conditions, pricing considerations, and dilution factors.

Authorized Share Capital Enhancement

The board has recommended a significant increase in the company's authorized share capital structure, subject to shareholder approval through postal ballot mechanism:

Regulatory Compliance and Shareholder Approval Process

MM Forgings Limited will seek requisite shareholder approval through postal ballot mechanism in accordance with Section 110 of the Companies Act, 2013. The company has committed to comprehensive regulatory compliance including amendments to its Memorandum of Association. The postal ballot process will cover both the fundraising approval and the authorized share capital increase.

Corporate Governance and Market Communication

The company has maintained transparency through proper regulatory disclosures under Regulation 30 of SEBI Listing Regulations. All relevant information has been communicated to both NSE and BSE, with detailed annexures providing comprehensive disclosure requirements. The complete board meeting outcome and related documents are available on the company's website at www.mmforgings.com for stakeholder reference.

MM Forgings Limited has released the complete transcript of its analyst and investor conference call held on March 5, 2026, providing comprehensive insights into the company's Q3FY26 performance and future growth strategy. The call was conducted as part of the Auto Ancillaries Virtual Investor Conference organized by Emkay Global Financial Services Limited.

Conference Call Overview

The investor conference call focused on MM Forgings' unaudited financial results for the quarter and nine-month period ended December 31, 2025. Chairman and Managing Director Vidyashankar Krishnan led the discussion alongside CFO Venkatakrishnan, addressing key operational and strategic developments.

Management Outlook and Growth Strategy

Chairman Vidyashankar Krishnan expressed optimism about the company's prospects, projecting strong recovery in Q4 and targeting 20% growth for the next fiscal year. The management highlighted that despite facing challenges from delayed customer projects and macroeconomic conditions, the company is well-positioned for significant expansion.

"We should be able to easily do 20% growth in the next coming year. We have the parts and the orders for that," stated Krishnan during the call. The company has consistently invested up to ₹1,000 crores over the last 5 years, creating a strong foundation for future growth.

Capacity Expansion and Operational Updates

MM Forgings is commissioning a 16,500-ton press with an internal target of June, though completion may extend to July-August. Additionally, a 4,000-ton press is being commissioned, taking the total capacity to 150,000 tons. The company expects to achieve 70,000 to 75,000 tons utilization in the current fiscal, with projections to cross 90,000 tons next year.

Market Recovery and Segment Performance

The management noted strong recovery in the US market, with Class 8 truck orders showing significant improvement in February. The US market, which had declined from 16-17% to 9% of total sales, is expected to return to previous levels. The company's product portfolio focuses on what management calls "ABC parts" - Axle arms/knuckles, Beams (front axle), and Crankshafts, along with Connecting rods.

Cost Optimization Initiatives

MM Forgings has implemented several cost-saving measures, including transitioning to green power from January 18, 2026, resulting in expected annual savings of ₹15 crores. Combined with interest cost reductions of ₹30-35 crores, the company anticipates total savings of ₹45-50 crores annually.

Regulatory Compliance and Transparency

The transcript release forms part of MM Forgings' compliance obligations under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company has formally notified both the National Stock Exchange of India Limited and Bombay Stock Exchange Limited about the transcript availability, demonstrating its commitment to transparency with stakeholders.

The comprehensive transcript provides detailed responses to investor queries covering capacity utilization, market dynamics, export prospects, and strategic initiatives, offering stakeholders valuable insights into the company's operational performance and future direction.