Hariom Pipe Industries Limited (HPIL) has taken a significant step towards expanding its operations by signing a Memorandum of Understanding (MOU) with the Government of Maharashtra. The agreement, inked on September 19, 2025, outlines plans for establishing an Integrated Steel Plant in Gadchiroli, Maharashtra, with a proposed investment of up to Rs 3,135.00 crore.

Key Details of the MOU

The MOU, disclosed under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, highlights several important aspects of the agreement:

• Investment Size: HPIL proposes to invest up to Rs 3,135.00 crore in the project.
• Location: The Integrated Steel Plant will be set up in Gadchiroli, Maharashtra.
• Government Support: The Maharashtra government has committed to facilitating HPIL in obtaining necessary permissions, registrations, approvals, and clearances from concerned departments, in accordance with existing policies, rules, and regulations.
• Fiscal Incentives: As part of the agreement, the state government will also assist HPIL in accessing fiscal incentives for the project.

Impact and Implications

This move by Hariom Pipe Industries Limited represents a significant expansion of its manufacturing capabilities and could potentially strengthen its position in the steel industry. The substantial investment of Rs 3,135.00 crore underscores the company's commitment to growth and its confidence in the market potential.

Corporate Governance and Transparency

HPIL has confirmed that this transaction does not fall under related party transactions, and the parties involved are not related to the promoter or promoter group. This transparency aligns with good corporate governance practices and regulatory requirements.

Upcoming Investor Meeting

In a separate announcement, HPIL has informed that its management will be participating in the Arihant Capital (Broking) Virtual Conference on September 24, 2025, at 4:00 pm. The company has stated that no unpublished price-sensitive information is intended to be discussed during this virtual group meeting.

As Hariom Pipe Industries Limited moves forward with this significant investment plan, stakeholders will likely be watching closely to see how this expansion impacts the company's future performance and market position in the steel industry.

Hariom Pipe Industries Limited , a leading manufacturer of steel products, presented its growth strategy and recent achievements at the Nuvama Home Improvement Conference on August 25, 2025. The company showcased its strong market position and outlined plans for expansion in the coming years.

Key Highlights

• Impressive Capacity: Hariom Pipe Industries operates with a total installed capacity of 785,232 MTPA across five manufacturing units strategically located in Southern India.
• Diverse Product Range: The company produces over 800 SKUs of steel products, serving a wide range of industries and applications.
• Strong Distribution Network: With 900+ dealers and B2B clients, Hariom Pipe Industries generates approximately 85% of its sales through its dealer network and 15% through direct B2B sales.
• Record-Breaking Performance: The company achieved record sales of 2.45 lakh MT with revenue of ₹1,357.00 crore in its latest results.
• Market Leadership: Hariom Pipe Industries holds a 13% market share in the specialized thin steel category (0.3-2.5mm thickness).

Growth Strategy

Hariom Pipe Industries outlined an ambitious growth plan, targeting a 30% volume CAGR over the next two years. This strategy is supported by several key initiatives:

1. Capacity Expansion: The company plans to enhance its capacity for value-added products, particularly MS Tubes and GP Pipes.
2. Market Penetration: Hariom Pipe Industries aims to deepen its presence in Tier 2/3 and rural markets while expanding into Western and Northern India.
3. Dealer Network Strengthening: The company is focused on expanding its dealer network in new regions while enhancing its presence in existing Southern Indian markets.
4. Operational Efficiency: Continuous process innovation and technology enhancements are planned to optimize costs and improve efficiency.

Renewable Energy Initiatives

In line with its commitment to sustainability, Hariom Pipe Industries announced two significant developments in the renewable energy sector:

1. Solar Power Plant: The company received a Letter of Award (LOA) for a 60 MW solar power plant project with the Maharashtra State Electricity Board.
2. New Subsidiary: Hariom Power and Energy Pvt. Ltd. has been incorporated to focus on solar projects, marking the company's entry into the renewable energy sector.

Financial Performance

The company maintains a healthy EBITDA margin of 12.90%, showcasing its operational efficiency. Hariom Pipe Industries' current solar renewable capacity stands at 3.4 MW across its facilities, demonstrating its commitment to sustainable manufacturing practices.

Management Commentary

Rupesh Kumar Gupta, Managing Director of Hariom Pipe Industries, stated, "Our focus on value-added products and strategic expansion plans position us well for strong growth in the coming years. We are excited about our entry into the renewable energy sector, which aligns with our commitment to sustainability and opens up new revenue streams."

As Hariom Pipe Industries continues to expand its capacity and market reach, the company appears well-positioned to capitalize on the growing demand for steel products in India's infrastructure and construction sectors. The company's emphasis on sustainability and operational efficiency is likely to contribute to its long-term growth and profitability.