Asian Granito India Completes Strategic Steel Sector Acquisition

Asian Granito India Limited (AGL), a prominent player in the building materials industry, has successfully completed its strategic acquisition of a 26% equity stake in Allomex Steel Private Limited (ASPL). The company officially announced the completion of this transaction through a regulatory filing with BSE and NSE on December 31st.

Acquisition Completion

Following the board approval announced in early December, AGL has now finalized the acquisition from ASPL's existing shareholders. This completion marks a significant milestone in the company's diversification strategy, with ASPL now becoming an associate company of Asian Granito India Limited.

Transaction Summary

The key details of the completed acquisition are:

Parameter:	Details
Target Company:	Allomex Steel Private Limited (ASPL)
Stake Acquired:	26% of paid-up equity share capital
Consideration:	₹26,000.00 (Cash)
Shares Acquired:	2,600 equity shares at ₹10.00 each
Completion Date:	December 31st
New Status:	ASPL becomes Associate Company

Strategic Rationale

This acquisition represents AGL's entry into the steel manufacturing sector, complementing its existing building materials business. The strategic move is designed to:

Expand Product Portfolio: Diversify into related building material products within the construction sector
Leverage Synergies: Integrate steel manufacturing capabilities with existing project customer base
Enhance Supply Chain: Utilize existing distribution network to support new steel operations
Support Growth Plans: Create long-term value through vertical integration

Regulatory Compliance

The company has fulfilled all regulatory requirements under SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Company Secretary and Compliance Officer Dhruti Trivedi confirmed that all necessary disclosures have been submitted to both stock exchanges, with detailed information available on the company's website.

Financial Context

AGL's strong financial position supports this strategic expansion:

Financial Metric:	Amount (₹ crore)	Growth
Total Assets:	1,855.30	+12.95%
Shareholders' Capital:	1,375.00	+7.89%
Current Assets:	870.50	+2.27%

While the immediate financial impact may be modest given ASPL's recent incorporation, this acquisition positions AGL for long-term growth in the integrated building materials sector. The completion of this transaction demonstrates the company's commitment to strategic diversification and expansion into complementary business segments.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-0.11%	-7.19%	+12.39%	+10.75%	+16.02%	-60.78%

Asian Granito India Limited , a leading manufacturer of tiles and bathware solutions, has completed a strategic divestment while reporting robust financial performance for the second quarter ended September 30.

Strategic Transaction Completed

The company has successfully completed the disposal of 25% equity stake in AGL Proteins Private Limited on December 31, 2025. This transaction, which was previously approved by the board in November 2025, has converted AGL Proteins from a subsidiary to an associate company.

Transaction Details:	Information
Stake Disposed:	25% equity shares
Completion Date:	December 31, 2025
Asian Granito's Remaining Stake:	26% (reduced from 51%)
New Status:	Associate Company
Acquirer:	Mr. Prince Patel (non-promoter group)

Financial Highlights

Q2 Performance

The company demonstrated strong operational performance with significant improvements in profitability metrics.

Metric:	Q2 Amount	YoY Growth
Consolidated Revenue:	₹406.92 crore	+8.20%
EBITDA:	₹36.64 crore	+148.00%
EBITDA Margin:	9.00%	Up from 3.93%
Consolidated Net Profit:	₹16.71 crore	-

H1 Performance

Metric:	H1 Amount	YoY Growth
Consolidated Revenue:	₹795.17 crore	+8.00%
Consolidated Net Profit:	₹23.95 crore	-

Operational Performance

Export Sales:	Q2	H1
Amount:	₹64.00 crore	₹127.00 crore
YoY Change:	-17.00%	-

Strategic Developments

Beyond the AGL Proteins divestment, the company has undertaken several strategic initiatives:

International Expansion: Approved increased capital contribution in Harmony Surfaces Thailand Limited, a wholly owned subsidiary incorporated in June 2024
Growth Vision: Launched Enhanced Strategic Integration Programme (ESIP) with long-term vision of achieving ₹6,000.00 crore in total revenue
Brand Enhancement: Appointed Bollywood actor Ranbir Kapoor for "Premium ka Pappa" campaign

Management Commentary

Kamlesh Patel, Chairman and Managing Director, stated: "We are delighted that the composite scheme of arrangement approved by the NCLT has now become effective — a significant milestone for the company. Our Q2 performance reflects our strength — driven by operational discipline and a clear focus on sustainable growth. With expansion of our retail and global footprint, launch of powerful brand campaigns we aim to become a truly global brand and achieve revenue target of Rs. 6,000 crore over the next 4-6 years."

Future Outlook

Asian Granito India Limited continues to focus on operational efficiency, brand strengthening, and strategic expansion. The company aims to position itself as a leading player in the luxury surfaces and bathware solutions market, with a presence in over 100 countries and an extensive distribution network across India.

The company operates in tiles, marble, quartz, and bathware segments, maintaining its commitment to sustainable growth while optimizing its portfolio through strategic transactions like the AGL Proteins divestment.