Prime Securities acted as investment banker for Lloyds Engineering Works' acquisition of a controlling stake in Steel Infra Solutions for ₹1,220 crore. This marks a significant advisory deal for Prime Securities.

Prime Securities Advises on ₹1,220 Crore Steel Infra Acquisition

Lloyds Engineering Works Limited (LEWL) has acquired a controlling stake in Steel Infra Solutions Company Limited (SISCOL) for approximately ₹1,220 crore, with Prime Securities Limited serving as the exclusive investment banker.

Reader Takeaway: Advisory success for Prime Securities; SISCOL capacity to double.

What just happened

Prime Securities Limited successfully closed a major M&A transaction, acting as the exclusive investment banker for the acquisition of a controlling stake in Steel Infra Solutions Company Limited (SISCOL) by Lloyds Engineering Works Limited (LEWL). The deal is valued at ₹1,220 crore.

Why this matters

This transaction is a significant win for Prime Securities, highlighting its capabilities in advising on large-scale M&A deals within the infrastructure and engineering sectors. The acquisition is expected to drive consolidation and capacity expansion in the steel fabrication and EPC space, potentially creating more opportunities for investment banks.

The backstory

SISCOL is an established player in engineering and structural steel fabrication with ₹817 crore in operating revenues and ₹44 crore in Profit After Tax (PAT) for FY26, and an order book of ₹1,134 crore. LEWL, an infrastructure solutions provider, has grown significantly, with current revenues of ₹3,000 crore and an order book of ₹8,000 crore.

What changes now

Following the acquisition, LEWL plans to significantly expand SISCOL’s fabrication capacity from 100,000 MTPA to 200,000 MTPA. The integration aims to combine the strengths of both companies to target larger infrastructure projects and unlock operational synergies.

Risks to watch

Investors should monitor the successful integration of SISCOL into LEWL, the execution of the ambitious capacity expansion plans, and the realization of projected synergies. Future capital expenditure and the efficiency of project management will be key performance indicators.

Peer comparison

While specific peer M&A valuations are not provided, the ₹1,220 crore valuation for SISCOL underscores the significant scale of this transaction. LEWL's market capitalization stands at ₹12,800 crore, indicating its substantial presence in the infrastructure sector.

Context metrics (time-bound)

• Transaction Valuation: ₹1,220 crore
• SISCOL FY26 Metrics: Operating Revenues ₹817 crore, EBITDA ₹92 crore, PAT ₹44 crore, Order Book ₹1,134 crore.
• LEWL Metrics: Current Revenue ₹3,000 crore, Revenue (FY19) ₹98 crore, Current Order Book ₹8,000 crore, Market Capitalization ₹12,800 crore.
• SISCOL Capacity: To be doubled from 100,000 MTPA to 200,000 MTPA.

What to track next

Investors should keep an eye on Prime Securities' future deal pipeline, particularly in the infrastructure and EPC sectors. For LEWL, tracking the progress of SISCOL's capacity expansion and integration will be crucial.