Scoda tubes Limited has received approval from the Gujarat Energy Development Agency (GEDA) for establishing a significant solar power project under the Gujarat Integrated Renewable Energy Policy-2025. The company informed stock exchanges about this major renewable energy initiative through a regulatory filing under SEBI Listing Obligations and Disclosure Requirements Regulations, 2015.

Project Specifications and Location

The approved solar project will have a capacity of 3.9 MW (AC)/4.99 MW (DC) and will be established as a ground-mounted solar facility. The project location has been designated at Survey no. 297, Village Mudana, Ta-Sidhpur, Dist-Patan, with Consumer no. 20301. This solar installation is specifically designed for captive consumption, allowing the company to utilize the generated power for its own operations.

Financial Investment and Cost Structure

Power Generation and Economic Benefits

The solar project is projected to deliver substantial electricity generation and cost savings for Scoda Tubes Limited. The facility will contribute significantly to the company's energy requirements while reducing operational costs.

Daily and Annual Generation Capacity

Regulatory Compliance and Approval Process

The project approval comes under the Gujarat Integrated Renewable Energy Policy-2025, demonstrating the company's alignment with state-level renewable energy initiatives. GEDA, as a Government of Gujarat organization, has provided the necessary clearance for the solar installation. The company has fulfilled its disclosure obligations by informing both the National Stock Exchange of India Limited and BSE Limited about this development.

Strategic Impact

This solar project represents a significant step toward sustainable energy adoption for Scoda Tubes Limited. With annual electricity bill savings of Rs. 4,87,66,646, the project is expected to enhance the company's operational efficiency and reduce dependency on conventional power sources. The captive nature of the project ensures direct benefits to the company's manufacturing operations while contributing to environmental sustainability goals.

Scoda Tubes Limited has filed its monitoring agency report for the quarter ended December 31, 2025, providing detailed insights into the utilization of proceeds from its Initial Public Offer (IPO) and pre-IPO placement. The report, prepared by CRISIL Ratings Limited as the monitoring agency, confirms that all fund deployments remain aligned with the objects disclosed in the company's prospectus.

IPO Proceeds Utilization

During the quarter ended December 31, 2025, Scoda Tubes utilized Rs 229.22 million from its IPO proceeds across various strategic initiatives. The company's total IPO utilization has now reached Rs 1,360.83 million out of the total gross proceeds of Rs 2,200.00 million.

The capital expenditure proceeds were primarily deployed for civil work and placing orders for plant and machinery for both existing and proposed facilities. Working capital funds were utilized for vendor payments related to raw material procurement, while general corporate purpose funds were used for tax payments.

Pre-IPO Proceeds Deployment

The company successfully completed the utilization of its remaining pre-IPO proceeds during the quarter. Out of the original Rs 550.00 million raised through pre-IPO placement, Rs 367.58 million had been utilized prior to the IPO. The remaining balance of Rs 182.42 million was fully deployed during the quarter ended December 31, 2025.

Fund Management and Investment Strategy

Scoda Tubes has maintained a disciplined approach to managing its unutilized proceeds. As of December 31, 2025, the company had Rs 839.15 million in unutilized IPO proceeds, strategically invested across multiple fixed deposits with HDFC Bank.

The total earnings from these investments as of December 31, 2025, amounted to Rs 20.56 million, bringing the total market value of unutilized proceeds to Rs 862.45 million.

Regulatory Compliance and Monitoring

CRISIL Ratings Limited, in its capacity as the monitoring agency, confirmed that all utilizations were consistent with the objects disclosed in the prospectus. The report noted no deviations from the original expenditure plans and confirmed that all regulatory requirements under SEBI regulations were met. The monitoring agency also verified that the company's Board of Directors had ratified and approved all fund utilizations through resolutions dated January 30, 2026.

The company's systematic approach to fund deployment and transparent reporting demonstrates its commitment to maintaining investor confidence and regulatory compliance as it continues to execute its expansion plans in the iron and steel products sector.