Plastic Engineering Company to Raise Rs 180 Crore via QIP; Focus on Inorganic Growth and Manufacturing Expansion

Rajoo Engineers Limited, a Rajkot-based manufacturer of plastic extrusion machinery, has announced plans to raise up to Rs 18,000 lakh through a Qualified Institutional Placement (QIP) of equity shares. The board of directors has approved the opening of the QIP issue with a floor price set at Rs 114.42 per equity share. On July 14, 2025, the company’s stock closed at Rs 131.20 on the BSE and Rs 131.15 on the NSE. The company may offer a discount of up to 5 per cent on the floor price, with the final issue price to be determined in consultation with the appointed Book Running Lead Manager, GYR Capital Advisors Private Limited.

The proceeds from the QIP, amounting to Rs 16,000 lakh, will be primarily used to fund inorganic growth initiatives aimed at expanding Rajoo Engineers' market presence and accelerating business growth. The remaining funds will be allocated toward general corporate purposes. This capital raise aligns with the company's long-term strategy to strengthen its position in the global plastic processing machinery industry.

With over 38 years of experience, Rajoo Engineers operates in 70+ countries and is listed on both BSE and NSE. The company specializes in Blown Film Lines, Sheet Extrusion Lines, Thermoforming Machines, and PVC Pipe Extrusion Solutions. Its product portfolio includes 26+ offerings across six segments, underlining its commitment to innovation and sustainability in plastic extrusion technology.

For Q1 FY26 ending June 2026, Rajoo Engineers reported revenue of Rs 8,507.32 lakh and a consolidated profit after tax of Rs 1,501.76 lakh. For the full fiscal year FY26, the company recorded revenue of Rs 25,365.51 lakh and PAT of Rs 3,811.64 lakh, reflecting consistent growth in earnings.

The company is also making strategic investments to enhance manufacturing capabilities. It has invested Rs 300 million in its Yantralaya facility, incorporating advanced 5-axis vertical multitasking machinery, which will increase production capacity by 40 per cent. The company’s focus on in-house manufacturing is also helping reduce outsourcing and raw material costs, leading to margin improvement.

Rajoo Engineers continues to expand its global footprint, with strong market presence in Latin America, Europe, North and South America, the Middle East, Asia Pacific, and Africa. Its sustainability efforts include the adoption of solar energy and the development of eco-friendly plastic processing technologies. Recently, the company commenced work on a 40-acre non-agricultural land project, aiming to establish India’s first dedicated manufacturing park for advanced manufacturing ecosystems.

Disclaimer: The article is for informational purposes only and not investment advice.