Steel Strips Wheels Ltd (SSWL) will invest Rs 138 crore in AMW Autocomponent Ltd as part of an insolvency resolution plan. The company's board has decided on the plan after the Ahmedabad Bench of the National Company Law Tribunal gave its nod for its resolution plan for AMW Autocomponent, a regulatory filing said on Tuesday. "SSWL shall infuse Rs 138.15 crore into AMW Autocomponent Limited(AACL) through a mix of equity and debt as per the resolution plan approved by NCLT Ahmedabad," it said. The amount will be utilised as full and final settlement of financial creditors, operational creditors, workmen/employees and other creditors of AACL, and will be treated as full discharge of SSWL's obligation under the approved resolution plan, it added. SSWL is into designing and manufacturing automotive wheels, both under the steel & alloy categories.
SSWL expects a sharp pull back of export demand with alloy exports being the key factor for Financial year 2023-24.
SSWL is looking to expand its presence in alloy wheel with global passenger car segment customer
Shares of Steel Strips Wheels were locked in the 5 per cent upper circuit band at Rs 1,788.40 on the BSE today
The primary motive of a stock split is to make shares seem more affordable to small investors.
In past one month, the stock of SSWL has rallied 81 per cent, as compared to a marginal 0.26 per cent rise in the S&P BSE Sensex
The stock hit a 52-week high of Rs 774, up 9% in intra-day trade today, and has rallied 22% thus far in March
Company says it has bagged 'export' orders for over 6,000 wheels for the US truck and caravan trailer market
The hit record high of Rs 1,100, up 15% after the company said it is in advanced stage of discussions to finalize long term contracts with multiple European customers.