Shyam Metalics up 2% on foraying into wagon manufacturing in West Bengal

Shyam Metalics share price: Shyam Metalics and Energy Ltd (Shyam Metalics) shares rose as much as 1.51 per cent to hit an intraday high of Rs 919.75 per share on Tuesday, May 20, 2025.

 

However, at 12:45 PM, Shyam Metalics shares were off highs and were trading 0.73 per cent higher at Rs 912.60 per share. In comparison, BSE Sensex was trading 0.39 per cent lower at 81,737.32 level.  READ STOCK MARKET LATEST UPDATES TODAY LIVE

Why did Shyam Metalics share price rise in trade today?

Shyam Metalics' share price rose after the company announced its entry into the wagon manufacturing business. It will set up a new greenfield facility in Kharagpur, West Bengal, through its step-down subsidiary, Ramsarup Industries Ltd. The plant is expected to begin operations by March 2026.

 

The move supports the Government of India’s “Make in India” and “Atmanirbhar Bharat” initiatives. It is also expected to create jobs and boost the local economy, Shyam Metalics claimed, in a statement.

 

The facility will be developed in two phases. Phase I will produce 2,400 wagons per year (around 8 per day), while Phase II will double the capacity to 4,800 wagons annually. The plant will manufacture various types of rolling stock, including Flat, Open, Box, Hopper Covered, Tank, and Specialised Wagons.  ALSO READ | Here's why Lloyds Metals & Engineers shares were buzzing in trade on May 20

 

The facility will use a ‘Uni-Flow’ manufacturing layout for efficiency and will include rooftop solar panels. It will also have on-site housing and basic amenities for workers. The company plans to use domestically produced equipment to support local manufacturing, it added.

 

Sheetij Agarwal, director of Shyam Metalics and Energy Ltd, said, “With our foray into wagon manufacturing, we are reinforcing Shyam Metalics’ vision of advancing India’s industrial self-reliance through high-impact, future-ready infrastructure. This facility reflects our commitment to innovation, sustainability, and nation-building. From harnessing rooftop solar energy to deploying Made-in-India technology, each element has been thoughƞully designed to maximise operational efficiency, minimise environmental impact, and enhance employee welfare. The Uni-Flow layout brings international manufacturing standards to our operations, allowing us to scale efficiently while delivering high-quality output. This marks a significant step in our evolution as a comprehensive, responsible provider of steel and mobility solutions for India’s infrastructure landscape.”  

 

Moreover, the site offers good connectivity through two national highways and a nearby port. It will also benefit from Shyam Metalics’ existing infrastructure, including a railway siding, captive power, and access to raw materials from its main steel plant.

 

This also marks a strategic move for Shyam Metalics to diversify beyond steel and enter a new sector with growth potential. It is part of the company’s five-year capital investment plan focused on infrastructure and long-term growth.  ALSO READ | A bull-market illusion? Handful of stocks driving the surge, data reveals

About Shyam Metalics

Shyam Metalics is among India’s leading integrated metal producers, with operations across West Bengal, Odisha, Jharkhand, and Madhya Pradesh. 

 

Headquartered in Kolkata, the company primarily focuses on long steel products, ferro alloys, aluminium, and stainless steel. Listed on the stock exchanges in 2021, Shyam Metalics currently has a market capitalisation of about ₹25,473 crore.

 

Shyam Metalics is among the largest ferro alloy producers in India by installed capacity, according to CRISIL Report. 

 

It operates across the steel value chain, with the ability to sell both intermediate and finished products. Shyam Metalics also ranks among the top players in pellet capacity and is the largest coal-based sponge iron producer in the country by capacity.