Gravita India Limited has announced the signing of a binding term sheet to acquire up to 100% equity stake in Rasthriya Metal Industries Limited (RMIL). RMIL is a reputed copper product manufacturer with significant export presence. The transaction consideration is set at approximately ₹565 crore. This strategic move aims to expand Gravita’s group operations into the Copper vertical and create backward integration synergies, with completion targeted by March 31, 2026.
Gravita Announces Strategic Acquisition of RMIL
Gravita India Limited announced on 09th February, 2026, that it has signed a binding term sheet for the proposed acquisition of up to 100% equity stake in Rasthriya Metal Industries Limited (RMIL) through a Share Purchase Agreement (SPA). Upon completion, RMIL will become a subsidiary of Gravita.
Target Company Profile (RMIL)
RMIL is recognized as a leading manufacturer of copper and copper alloy products, including strips and coils. The company reports substantial international business, with approximately 40% of its products exported to regions like the UAE, USA, Thailand, and Saudi Arabia. RMIL operates an integrated manufacturing facility located in Sarigram, Gujarat, situated on 58,287 square meters of land, possessing a production capacity of 31,200 MTPA. For the financial year ended 31st March, 2025, RMIL recorded a turnover of Rs. 910 crores and an EBITDA of Rs. 60 Crores.
Transaction Details and Timeline
The purchase consideration agreed upon for the proposed 100% equity stake acquisition is approximately ~ Rs. 565 crore. The transaction is anticipated to be completed on or before 31st March 2026, contingent upon the successful completion of due diligence, execution of definitive documents, and the receipt of all necessary regulatory approvals.
Strategic Rationale for Acquisition
This binding term sheet is expected to provide Gravita with a significant opportunity to expand its group operations into the new vertical of Copper. Furthermore, the acquisition is slated to increase the overall share of Gravita’s non-Lead business segment. The company anticipates gaining further benefits through enhanced backward integration capabilities and realizing strong operating synergies across existing procurement, logistics, and sales functions with its current plants.
Source: BSE
