Gravita India copper entry: ₹559cr buy in 2026

Deal announcement and the key numbers

Gravita India has acquired a 98.5% stake in Rashtriya Metal Industries, an Indian producer of copper and copper alloy products, for ₹559 crore (about $10 million). The update was dated April 2, 2026. Gravita described the move as an expansion into the copper market, including recycling from copper scrap to copper alloys. Rashtriya also confirmed in a statement on its website that it is now part of the Gravita group. Gravita said the transaction would be finalised by March 31.

How the acquisition process unfolded

Company disclosures earlier in 2026 showed the transaction moving through internal approvals and shareholder processes. A board meeting was scheduled for Feb 9, 2026 to review a binding term sheet to acquire up to 100% of Rashtriya Metal Industries for up to ₹565 crore, subject to due diligence and other conditions. A Special or Extraordinary Shareholders Meeting was planned for Mar 6, 2026 via postal ballot in India, indicating that shareholder approvals were expected for proposals linked to the acquisition and related actions. The combination of a term sheet review and a postal ballot process framed the run-up to the subsequent stake acquisition and group integration confirmation.

Why Gravita is stepping into copper recycling

Gravita is known as a lead recycling major, and it positioned the copper entry as a logical adjacency. The company said copper recycling and copper alloy production would complement its existing businesses in lead, plastic, rubber, and aluminium recycling. Gravita also pointed to export expansion as a benefit, indicating the copper portfolio would support a broader international footprint. The message is consistent with the company’s wider push to add recycling verticals while maintaining its base in lead.

Rashtriya Metal Industries: operations and capacity

In India, Rashtriya operates a manufacturing facility in Gujarat. The installed production capacity is stated as more than 31,000 tonnes per annum. For Gravita, this provides a ready platform in copper and copper alloys rather than a greenfield ramp-up. The acquisition also signals a move beyond lead into a metal segment linked to industrial demand and alloy applications.

Mundra as a growth hub: lead and lithium capacity updates

Separate from the copper acquisition, Gravita has been expanding capacity at Mundra, Gujarat. The company said that overall lead battery recycling capacity at its Mundra plant exceeded 145,000 tonnes per annum after an expansion project. It also launched its first lithium recycling plant at the same site. Gravita disclosed that the lithium ion battery recycling facility has a capacity of 6,000 MTPA and was backed by an investment of ₹1.4 crore from internal accruals.

Capital raising and governance steps highlighted in filings

Gravita filed a follow-on equity rights offering totalling ₹70 crore, giving existing shareholders the option to participate in fresh capital raising, according to a company filing. Separately, a board meeting on Jan 21, 2026 was scheduled to review unaudited financial results for the quarter and nine months ended Dec 31, 2025, and to consider appointing Mr. Bhupendra Kumar Dak as a non-executive independent director, subject to shareholder approval. These steps were disclosed alongside the acquisition discussions, indicating parallel workstreams on capital planning and board processes.

Financial snapshot: quarterly and annual figures cited

The dataset includes a quarterly performance snapshot where revenue stood at ₹1,039.94 crore, up 0.28% QoQ from ₹1,037.07 crore and up 14.55% YoY. Operating profit was ₹36.11 crore, down 12.71% QoQ from ₹41.37 crore, while showing 82.10% YoY growth. PBDT was ₹31.58 crore, up 15.26% QoQ from ₹27.40 crore and up 132.55% YoY. Profit before tax was ₹115.93 crore, up 1.19% QoQ from ₹114.57 crore and up 54.45% YoY, while net profit was ₹93.26 crore, down 1.97% QoQ from ₹95.13 crore, and up 38.51% YoY.

On full-year numbers for FY2024-25, consolidated revenue from operations was ₹3,868.77 crore versus ₹3,160.75 crore in the previous year. Standalone revenue from operations was ₹3,222.77 crore versus ₹2,679.07 crore. Standalone EBITDA was reported at ₹244 crore for FY2024-25 versus ₹234 crore in the previous year.

Analysts’ view: price target steady, assumptions tweaked

Analysts kept their price target for Gravita India unchanged at ₹2,658 per share in updates shared in February and March 2026. The notes said only modest assumption changes were made, not enough to shift fair value. The discount rate moved slightly higher to 14.42% from 14.37%. Revenue growth assumption edged up to 30.80% from 30.49%. Net profit margin assumption moved marginally lower to 7.97% from 7.98%, while the future P/E eased to 38.93x from 39.10x.

What the acquisition means for the recycling portfolio

With Rashtriya’s copper and copper alloy base, Gravita is adding another major metal stream alongside lead and aluminium, while continuing to scale lithium recycling. The company’s stated rationale focuses on complementarity across recycling verticals and export expansion. The deal also fits with the sequence of board and shareholder steps disclosed earlier in 2026, including term sheet review and the planned postal ballot meeting.

Key facts table

Valuation assumptions table (latest disclosed tweaks)

Conclusion

Gravita India’s ₹559 crore acquisition of a 98.5% stake in Rashtriya Metal Industries marks a formal entry into copper and copper alloy products, with a stated focus on recycling and export expansion. Alongside this, the company has highlighted capacity additions at Mundra and a rights issue filing for ₹70 crore. Investors are also tracking the company’s disclosed governance and approval timelines, including the Feb 9 board agenda and the Mar 6 postal ballot meeting referenced in company notices.