The Board of Directors of Godawari Power and Ispat Limited (GPIL) has approved an investment in Deccan Gold Mines Ltd (DGML) by acting as a specific investor in DGML’s proposed rights issue. GPIL will subscribe to the unsubscribed portion to ensure at least 90% subscription of the issue. The investment is capped at 25% of DGML’s post-issued capital. The meeting concluded at 12:35 PM on December 4, 2025.
Strategic Investment in Gold Mining
Godawari Power and Ispat Limited (GPIL) will invest in Deccan Gold Mines Ltd (DGML) by acting as a specific investor in its proposed rights issue. This strategic move aims to strengthen GPIL’s position in the mining sector.
Rights Issue Subscription
GPIL’s investment includes subscribing to any unsubscribed portion of the rights issue. This ensures a minimum subscription level of 90% for the total issue size. GPIL also reserves the right to take up the undersubscribed portion to the extent of 100% of the Rights Issue, subject to conditions.
Shareholding and Regulatory Compliance
GPIL’s shareholding, along with its group companies, will not exceed 25% of the post-issued paid-up and voting share capital of DGML. This investment is subject to compliance with applicable laws and regulatory approvals.
Investment Details
The investment will be in equity shares of DGML for the unsubscribed portion of the Rights Issue. The price is set at Rs 80/- per share (including a premium of Rs 79/-).
Deccan Gold Mines Overview
Deccan Gold Mines Limited (DGML) is involved in the mining of gold and other critical minerals. It has active operations and exploration initiatives in several countries, including Kyrgyzstan, India, Finland, Mozambique, and Tanzania. DGML is in the exploration stage, focusing on gold mineral exploration and advancing towards gold mining and processing. A promoter group company of GPIL holds 9.65% equity in DGML.
Timeline for Completion
The indicative time period for completion of the acquisition is on or before December 31, 2025, subject to maximum timeline as per the Letter of Offer. The nature of consideration is cash.
Financial Performance of DGML
The Turnover of DGML as on FY 2024-25 was Rs.52.83 Lakhs. FY 2023-24 was Nil and FY 2022-23 was Rs.32.54 Lakhs.
Source: BSE