Shyam Metalics & Energy Limited (SMEL) has issued a postal ballot notice to seek shareholder approval for key corporate governance matters, including the re-appointment of an independent director and revisions in remuneration for two whole-time directors.

Director Re-appointment

The company is seeking approval for the re-appointment of Ms. Rajni Mishra (DIN: 07706571) as an Independent Director for a second term of five years. If approved, Ms. Mishra's tenure would extend from February 12, 2026, to February 11, 2031.

Remuneration Revisions

SMEL is also proposing revisions in the remuneration packages for two of its Whole-Time Directors:

1. Mr. Sheetij Agarwal (DIN: 08212992):

   • Current remuneration: Rs. 60.00 lakh to Rs. 2.00 crore annually, with variable incentives up to Rs. 1.00 crore
   • Proposed remuneration: Rs. 2.00 crore to Rs. 5.00 crore annually, with variable incentives up to Rs. 1.00 crore

2. Mr. Dev Kumar Tiwari (DIN: 02432511):

   • Current remuneration: Up to Rs. 50.00 lakh annually
   • Proposed remuneration: Rs. 50.00 lakh to Rs. 1.50 crore annually

E-voting Details

The company has set up an e-voting process for shareholders to cast their votes on these resolutions:

Company Performance

The remuneration revisions come in the wake of strong financial performance by SMEL:

• Net profit increased by 39.33%
• Steel production reached a record 4.97 MTPA, up 7.48% year-on-year
• Steel product sales hit an all-time high of 2.00 MTPA, a 3.75% year-on-year increase

Additional Information

The postal ballot notice includes detailed information about the directors' qualifications, experience, and their roles in the company's growth. Shareholders are encouraged to review this information before casting their votes.

SMEL has engaged the services of National Securities Depositories Limited (NSDL) to provide the e-voting facility. The company has assured that no unpublished price-sensitive information was discussed during recent investor meetings.

Shareholders are advised to refer to the full postal ballot notice for comprehensive details on the proposed resolutions and voting procedures.

Shyam Metalics & Energy Limited (SMEL), a leading multi-metal conglomerate, has made a strategic move towards sustainable energy by acquiring a 26% stake in Emerge Green Power Private Limited (EGPPL). This acquisition, valued at ₹75.01 lakh, is coupled with a Solar Power Purchase Agreement, marking SMEL's commitment to renewable energy and cost-efficient operations.

Key Details of the Acquisition

• Investment: SMEL has subscribed to 26,000 equity shares of EGPPL at ₹288.51 per share (face value ₹10.00 plus premium of ₹278.51).
• Stake: The acquisition results in SMEL holding a 26% equity stake in EGPPL.
• Agreement: A Solar Power Purchase Agreement has been signed, positioning EGPPL as a captive generator supplying solar power to SMEL.
• Completion Timeline: The transaction is expected to be completed by May 11, 2026.

Strategic Implications

This move by Shyam Metalics is aligned with several strategic objectives:

1. Cost Reduction: The agreement aims to lower energy costs and reduce dependence on grid power.
2. Environmental Goals: Increased usage of renewable energy supports SMEL's environmental objectives.
3. Financial Performance: The company expects this initiative to improve EBITDA margins through lower operational expenditure on power.
4. Regulatory Compliance: The investment supports compliance with regulatory norms and ESG frameworks.

About Emerge Green Power Private Limited

EGPPL, incorporated in February 2025, is a newly formed entity focused on setting up and operating captive solar power generation plants. While the company is yet to commence business operations, it is poised to become an associate company of Shyam Metalics following this acquisition.

Market Context

This strategic investment comes at a time when the Indian steel industry is increasingly focusing on sustainability and cost-efficiency. Shyam Metalics, known for its integrated metal production with a focus on long steel products and ferro alloys, is positioning itself at the forefront of this trend.

The move towards captive solar power generation is particularly significant for energy-intensive industries like steel manufacturing. It not only addresses the growing emphasis on renewable energy adoption but also provides a hedge against volatile energy prices.

Conclusion

Shyam Metalics' investment in Emerge Green Power Private Limited represents a forward-thinking approach to energy management and sustainability in the metal production sector. As the company continues to expand its portfolio and optimize operations, this green energy initiative may serve as a model for other players in the industry looking to balance profitability with environmental responsibility.

Investors and industry observers will likely watch closely to see how this strategic move impacts Shyam Metalics' operational efficiency and financial performance in the coming years.