Lloyds Metals and Energy Limited announced that its wholly-owned subsidiary, Lloyds Steel Private Limited, has acquired a 19.50% equity stake in Loka Metals Private Limited via a preferential allotment. The acquisition involved 11,70,000 fully paid-up equity shares for a total consideration of ₹1,17,00,000 (₹10 per share). Loka Metals, incorporated in September 2025, is focused on steel processing, trading, and setting up a cut and bend facility, though it has not yet commenced business operations.
Strategic Investment in Steel Sector
Lloyds Metals and Energy Limited has disclosed a significant investment made by its wholly-owned subsidiary, Lloyds Steel Private Limited (formerly Lloyds Logistics Private Limited), into a new entity, Loka Metals Private Limited (“Loka Metals”). This move is intended to bolster the company’s presence in the steel processing and trading industry.
Acquisition Details
The transaction involved the subscription of 11,70,000 fully paid-up equity shares of Loka Metals. This allotment translates to a 19.50% equity stake in the target company. The total cost of acquisition was Rs. 1,17,00,000, with the shares being subscribed at their par value of Rs. 10/- per share.
About the Target Entity: Loka Metals
Loka Metals is a newly incorporated entity, established on 02nd September 2025, and is located in Telangana, India. Its primary business focus will be steel processing, trading in iron & steel industry, and cut and bend operations, specifically targeting the marketing strategy for wire rods. As a newly formed company, Loka Metals has not yet closed its first Financial Year, and consequently, its financial statements are not yet available. The company is currently in the process of setting up its steel distribution facility and cut and bend plant and has yet to commence business.
Transaction Context
The acquisition does not fall under related party transactions, and the necessary approvals for this acquisition were deemed Not Applicable based on the disclosure requirements.
Source: BSE
