In today’s briefing:
- The Beat Ideas: Nalco’s ₹30,000 Crore Expansion
- Business Breakdown: Akums Drugs – Market Leader with Global Ambitions
The Beat Ideas: Nalco’s ₹30,000 Crore Expansion
- National Aluminium (NACL IN) has announced a significant INR 30,000 crore capex over the next five years, its largest in recent history, to expand its core smelting, power generation capabilities.
- Targeting an almost doubling of its smelting capacity and securing long-term power supply. This is crucial for NALCO to enhance its competitiveness and achieve the coveted “Maharatna” status by 2030.
- This expansion, funded by a mix of internal accruals and debt, positions NALCO for an earnings inflection point, contingent on disciplined execution and favorable long-term commodity cycles.
Business Breakdown: Akums Drugs – Market Leader with Global Ambitions
- Akums secured a €200m European supply contract, marking its first large entry into regulated markets and validating its compliance and scale capabilities.
- This shifts Akums from a domestic CDMO leader to a credible global player, with exports positioned to become a material earnings contributor from FY27.
- While near-term growth remains muted, Akums’ medium-term profile looks stronger, with greater diversification and reduced dependence on India’s CDMO cycle.
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