Sterlite Technologies approves ₹3,000 crore capex for 50% capacity hike by FY29
- Sterlite Technologies board approves ₹3,000 crore capex for manufacturing expansion
- Plan targets a 50% increase in optical fiber cable capacity by end of FY29
- Current facility utilization is approximately 70%
- Project will be funded via internal accruals and debt
*this image is generated using AI for illustrative purposes only.
Sterlite Technologies board has approved a ₹3,000 crore capital expenditure plan to increase its optical fiber manufacturing capacity by 50% by the end of FY29.
Expansion details
The Board of Directors, meeting on September 3, 2026, approved the capital commitment aimed at scaling existing manufacturing facilities. The move addresses anticipated global demand for optical fiber cables and connectivity solutions.
| Parameter | Details |
|---|---|
| Investment approved | ₹3,000 crore |
| Target capacity increase | 50% |
| Target timeline | End of FY29 |
| Current utilization | ~70% |
| Financing mode | Internal accruals and/or debt |
The company disclosed that existing capacity utilization stands at approximately 70%. The new capacity addition will be funded through internal accruals and/or debt, strengthening operational scale without diluting equity. Existing capacity figures were not disclosed due to commercial sensitivity.
Historical Stock Returns for Sterlite Technologies
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -0.15% | +7.62% | +28.04% | +313.60% | +560.36% | +286.19% |
How might the 50% capacity expansion impact Sterlite Technologies' market share in the competitive global optical fiber landscape by FY29?
What are the potential implications for the company's debt-to-equity ratio and interest coverage if a significant portion of the ₹3,000 crore is funded through debt?
Could this aggressive scaling lead to overcapacity risks if global demand for connectivity solutions slows down post-FY29?
19
Create Custom Screeners 
Access 200+ Pre-built Filters 
Use 50+ Readymade Screener 
