Shyam Metalics And Energy to buy 51% of Alom Solar for Phutamura coal block

Shyam Metalics And Energy (NSE: SHYAMMETL) has approved a proposal to acquire a 51% controlling stake in Alom Solar Private Limited, which holds mining rights to the Phutamura Coal Block in Chhattisgarh, it said in a filing on 31 Oct 2026. The stake is subject to definitive agreements and approvals, and the company's share of the initial capex is put at about ₹183.60 crore.

Key highlights

• Stake proposed: 51% controlling equity stake
• Consideration: 5,100 equity shares of ₹10 each, aggregating ₹51,000, stated as cash
• Initial capex share: ₹183.60 crore of ₹360 crore
• Indicative completion: on or before 30 Nov 2026

The acquisition in numbers

Mining rights and the stake sought

The company proposes to acquire a 51% controlling equity stake in Alom Solar Private Limited, which the filing says will become a subsidiary on acquisition. The target's assets are mining rights to the Phutamura Coal Block in Raigarh District, covering about 7.324 sq. km. with estimated reserves of about 170 million tonnes.

Alom Solar was incorporated on 28 Jun 2026 and its line of business is holding rights to the block. It reports nil turnover for FY 2023-24, FY 2024-25 and FY 2025-26, so the stake is in a company with no reported revenue history.

The company says the objects are strategic backward integration to secure long-term coal supply for captive power generation and steel plant manufacturing processes.

Capex share and the joint venture

The Board also approved an initial capex budget of approximately ₹360 crore for developing and operationalising the block. The company's 51% share is approximately ₹183.60 crore, with the remaining 49% to be funded by the joint venture partner.

Against the company's latest reported figures, the ₹183.60 crore share is small relative to its market value of ₹32,373 crore. The company's consolidated total income for Q1 FY27 was ₹5,502.18 crore, and its filings on 22 Oct 2026 covered a merger scheme with Shree Venkateshwara Electrocast, which the Blacklitt article of that date reports as approved by NCLT.

What the Alom Solar stake means for Shyam Metalics And Energy's shareholders

The company would take a controlling stake in a company whose only asset, as described, is mining rights to a coal block, and its share of the initial capex is put at ₹183.60 crore. The consideration for the stake is stated as ₹51,000 in shares at face value.

Not stated: the price or total consideration beyond that share issue, the seller, the joint venture partner, whether definitive agreements are signed, how the company will fund its capex share beyond the stated amount, and the effect on results. The next dated step is completion on or before 30 Nov 2026, subject to statutory approvals.