The Sandur Manganese & Iron Ores Limited (SMIORE) has successfully finalized the acquisition of Arjas Steel Private Limited, a prominent producer of high-quality auto-grade Special Bar Quality (SBQ) steel. Announced in April 2024 and concluded on November 11, 2024, this acquisition marks a pivotal shift in SMIORE’s business model, transitioning from a mining-focused company to an integrated leader in the metals and mining sector.
In a strategic move, SMIORE has increased its stake in Arjas to approximately 99%, surpassing the initially planned 80%. This full integration of Arjas into SMIORE’s operations reflects the company’s commitment to strengthening its market position and expanding its capabilities in the steel industry. With an enterprise value of around ₹3,000 Crore and an equity value of ₹2,000 Crore, this acquisition significantly enhances SMIORE’s portfolio.
Bahirji A. Ghorpade, Managing Director of SMIORE, expressed enthusiasm about the acquisition, stating, “This is a major milestone in our journey from mines to metals. By integrating Arjas, we are positioning SMIORE as a comprehensive metals and mining powerhouse. Our team worked diligently to close the deal within the expected timeline, and we look forward to driving Arjas’ growth, enhancing its presence in the speciality steel sector, and unlocking synergies between our two companies.”
With Arjas now a subsidiary, SMIORE expects to tap into new growth opportunities across industries like automotive, defence, railways, energy, and exports. The acquisition offers significant potential to expand both companies’ reach, while creating value for all stakeholders.
SMIORE is one of India’s most prominent private sector mining and commodity production companies, with a legacy of over seven decades. The company operates in three core segments: Mining (Manganese & Iron Ore), Ferroalloys, and Coke & Energy, leveraging synergies across these assets to maintain its competitive edge in the metals and mining industry.
Sandur Manganese Limited, established in 1968 and headquartered in Bangalore, India, is a prominent player in the manganese ore mining and processing industry. Operating primarily in the mineral-rich regions of Karnataka, Sandur Manganese specializes in the extraction and beneficiation of high-grade manganese ore, which is a critical raw material for the steel manufacturing sector.
The company boasts a robust production capacity, supplying both domestic and international markets with ferro-manganese and silicomanganese products that enhance the quality and strength of steel. Committed to sustainable mining practices, Sandur Manganese employs advanced technologies to minimize environmental impact and ensure efficient resource utilization.
Additionally, the company invests in research and development to innovate its processing techniques and expand its product portfolio. With a strong emphasis on corporate social responsibility, Sandur Manganese actively engages in community development initiatives, promoting education, healthcare, and infrastructure improvements in the regions where it operates. Through strategic expansions and continuous operational excellence, Sandur Manganese Limited remains a key contributor to India’s mining industry and the broader steel production landscape.
