PTC Industries approves raising up to Rs 141 crore; Ashish Kacholia among key investors

PTC Industries on Wednesday announced that its board approved a proposal to raise funds of up to Rs 141.24 crore through the preferential issue of fully paid-up equity shares. The company proposed to issue up to 235,415 equity shares at an issue price of Rs 6,000 per share. The announcement came during market hours. 

Later, shares of the company settled 1.39 per cent down at Rs 7,141.85 on January 3. On the other hand, the benchmark BSE Sensex closed 0.75 per cent lower at 71,356.60. 

The scrip has gained more than 2,000 per cent in the last three years. 

As per the regulatory filing, the company has allotted 1 lakh shares each to investor Ashish Kacholia and Himalaya Finance & Investment. It also allotted 16,666 shares to Naresh Saraf, 8333 shares to Blue Square Corporate Services, 5,000 shares to Fair and Faith Consultants, 4166 shares to Dhirendra Nath Tiwari and 1,250 shares to Vinay Khattar. 

PTC Industries is a technology-focused manufacturing company that specialises in critical industrial castings, aerospace castings, and advanced aerospace materials. The company is strategically investing in titanium technologies such as vacuum-arc re-melting, electron-beam cold-hearth re-melting and plasma cold melting. 

According to Phillip Capital, PTC Industries has acquired these technologies at favourable prices, securing its financial stability through internal accruals. Expanding aerospace casting capacities and venturing into titanium production, PTC aims for a modest 2-3 per cent share of the global titanium market. Its unmatched position in India’s titanium market positions it for significant growth, with aerospace materials yielding substantial returns and minimal competition from domestic players. 

PTC has delivered sales and EBITDA CAGR of 17 per cent and 31 per cent over FY18-FY23, while its FY23 PAT was 3.4 times FY18 PAT. Management is anticipating healthy profitability growth in future as well on the back of strong demand for titanium castings, defence indigenization mandate, large export opportunities and planned commissioning of titanium alloy facility.