A group of persons acting in concert (PACs) associated with Shah Alloys increased its aggregate stake in the company to 6.61% following open market acquisitions.

The acquisition of 435,576 equity shares was completed on September 9, 2026, triggering a disclosure under Regulation 29(1) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. The filing was submitted to the BSE on September 10, 2026.

Acquisition Details

The acquirers, led by Mr. Manishkumar Jashwantlal Shah and Mr. Bhadreshkumar Jashwantlal Shah, along with five associated entities, crossed the 5% threshold mandated for disclosure. The total shareholding rose from 872,983 shares (4.41%) to 1,308,559 shares (6.61%).

The mode of acquisition was exclusively through the open market. The total equity share capital of Shah Alloys Limited remains unchanged at 1,97,97,540 equity shares of ₹10 each.

Entity-wise Shareholding

The aggregate holding comprises interests held directly by the promoters and through various corporate entities. Raviraj Developers Limited holds the largest portion of the PAC stake.

The acquirers noted that while the shareholdings of the individual companies differ, they share common directors in Mr. Bhadresh J. Shah and Mr. Manish J. Shah. The disclosure was made voluntarily to ensure transparency regarding the crossing of the 5% holding threshold through these common directors.

Shah Alloys has scheduled its 36th Annual General Meeting for September 18, 2026, to seek shareholder approval for significant strategic shifts. The meeting will address the potential restructuring of the company’s steel plant operations and propose amendments to its Memorandum of Association to enter commodity trading and real estate.

The 36th AGM will be conducted through Video Conference or Other Audio Visual Means (VC/OAVM) in compliance with Ministry of Corporate Affairs circulars. The cut-off date for voting rights is September 11, 2026. Remote e-voting will be available from September 15, 2026, at 9:00 am until September 17, 2026, at 5:00 pm.

Strategic Restructuring of Steel Plant

The Board is seeking a special resolution to evaluate strategic alternatives for its Iron & Steel Plant operations at Santej, Gujarat. This follows an earlier intimation on July 21, 2025, regarding the closure of plant operations. The proposed resolution empowers the Board to:

• Induct strategic investors or technology partners for modernization or revival.
• Lease, license, or relocate the plant and machinery.
• Sell or dispose of operational assets.
• Enter into joint ventures or management arrangements.

A valuation report dated April 30, 2026, prepared by IBBI Registered Valuer Mr. Vatsalraj J. Dabhi, places the Fair Market Value of the plant and machinery at ₹44.195 crore. The valuation, based on the Cost Approach – Depreciated Replacement Cost Method as of March 31, 2026, covers movable assets only and does not include land or buildings. The company notes this figure is indicative and not a minimum sale price.

Expansion into New Business Verticals

Shah Alloys proposes altering its Main Objects to diversify beyond steel manufacturing. The amended MOA will include two new main objects:

1. Commodity Trading: Buying, selling, and trading in agricultural commodities, metals, precious metals, bullion, energy products, and freight. This includes participation in commodity exchanges and derivative transactions for hedging.
2. Real Estate & Infrastructure: Acquiring, developing, and leasing land and buildings. Activities include construction of residential, commercial, and industrial properties, as well as infrastructure projects like highways and logistics hubs.

Proceeds from any asset monetization or real estate development may be utilized for technology upgradation, debt repayment, working capital, or strategic investments.

Corporate Governance Updates

The meeting will also transact ordinary business, including the adoption of Audited Financial Statements for FY26 and the re-appointment of Shri Ashok Sharma as a Director. Sharma, who retires by rotation, has served since July 11, 2001. He holds qualifications in CA, CS, LLB, and IRB.

Additionally, shareholders will vote on the adoption of a new set of Articles of Association to align with the Companies Act, 2013.