This Mid-Cap Company Receives Approval to Increase Sponge Iron Capacity to 650,000 MTPA and HB Wire Capacity to 115,000 MTPA
The stock gave multibagger returns of 268 per cent in just 3 year and a whopping 810 per cent in 5 years.
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Godawari Power and Ispat Ltd (GPIL) has received regulatory approval to enhance production capacity at its plant located in the Siltara Industrial Area, Raipur, Chhattisgarh.
On February 28, 2026, the Chhattisgarh Environment Conservation Board granted the “Consent to Operate” for increased capacity across two key divisions of the company.
The capacity of the Sponge Iron Division (SID) has been raised from 594,000 metric tons per annum (MTPA) to 650,000 MTPA. Meanwhile, the HB Wire Division’s production capacity has been increased from 100,000 MTPA to 115,000 MTPA.
In its regulatory filing dated March 1, 2026, the company stated that the enhanced capacities are effective immediately. Notably, GPIL clarified that no additional investments or modifications to the existing plant infrastructure are required to operate at these higher capacity levels.
The development is expected to support higher production output without incurring fresh capital expenditure, strengthening the company’s operational efficiency.
About the Company
Incorporated in 1999 and headquartered in Raipur, Chhattisgarh, Godawari Power & Ispat Ltd (GPIL) is a leading flagship entity of the Hira Group and a major player in India’s integrated steel sector. The company operates a fully backwards-integrated value chain, controlling everything from iron ore mining at its Ari Dongri and Boria Tibu mines to the production of pellets, sponge iron, steel billets, and high-value wire rods. GPIL is particularly recognised for its strong captive power capabilities utilising waste heat recovery, biomass, and Solar energy—which ensure cost efficiency and a lower carbon footprint. Beyond its core steel business, the company is aggressively diversifying into the green energy transition.
The company has a market cap of over Rs 17,000 crore with a 3-year stock price CAGR of 54 per cent. In the September quarter of FY26, FIIs have increased their stake to 6.63 per cent from 6.51 per cent in June 2025. The stock gave multibagger returns of 268 per cent in just 3 year and a whopping 810 per cent in 5 years.
Disclaimer: The article is for informational purposes only and not investment advice.