Monolithisch India shares jumped 4% to hit their 52-week high of ₹1,505 on the NSE on Friday, 11 September, in a weak market. According to reports from Mint, the SME stock opened at ₹1,490 against its previous close of ₹1,446.40 and was looking set to extend gains for the fifth consecutive session. The stock has delivered exceptional multibagger returns, jumping over 190% year-to-date and surging more than 205% in the last one year, as reported by NSE data.
In an exchange filing on 10 September, Monolithisch India announced it had successfully secured a quartzite stone block in Nawada District, Bihar, through an e-auction conducted by the Mines and Geology Department, Government of Bihar. As reported by Mint, this stone block has been allocated to the company for a period of 5 years at a winning bid of ₹157 crore. The Government of Bihar auctioned this block with a mining capacity of 7,10,000 MT per annum, a cumulative capacity of 35,50,000 MT over the 5-year lease term. Commercial operations are expected to commence from February or March 2027, subject to statutory approvals expected within 3-4 months.
According to the exchange filing reported by Mint, this acquisition represents the company's largest strategic milestone since its inception and completes a significant step towards backward integration of its raw material supply chain. The ₹157 crore consideration will be paid in tranches over five years in accordance with state government guidelines, with mining operations to be undertaken through experienced national mining contractors on a per-ton raising contract basis. This will limit the company's direct infrastructure capital expenditure while providing greater control over key raw material requirements. A dedicated beneficiation and storage unit will also be established near the block to support quality management, R&D and product development. The block belt was operational from 2015-2020, with the ore in this block being highly sought after by secondary steel cluster customers for its quality and consistency.
Harsh Tekriwal, Managing Director of Monolithisch India, emphasized that this strategic move will significantly strengthen the company's competitiveness in quality and cost in the coming years. As reported by Mint, he noted that this development coincides with the commencement timeline of their greenfield project, with commercial operations expected to commence from February or March 2027. Tekriwal announced that "I am proud to announce that our backward integration is complete, with surplus raw material capacity, securing our needs that were supposed to grow rapidly with the commencement of our new greenfield project." He also stated that this acquisition is only the first step in their next phase of growth, with plans to pursue similar initiatives to secure raw materials before launching new product verticals. The company produces premixed ramming mass, a key refractory material used in induction furnaces by the secondary steel industry, with consolidated group manufacturing capacity expected to reach 5,76,000 MTPA.
