MOIL has approved a wholly owned subsidiary at Gujarat International Finance Tec-City, or GIFT City, to explore and develop mineral assets overseas, opening a new route for the state-owned manganese ore producer to pursue international acquisitions.
The proposed entity, MOIL International IFSC Limited, will be established subject to government approvals. MOIL will subscribe to 25 lakh equity shares with a face value of Rs10 each, taking its initial investment in the subsidiary to Rs2.5 crore.
According to the company filing reported by the Times of India, the subsidiary will explore overseas opportunities in mineral asset acquisition, manage international investments and provide structural flexibility for future acquisitions. The proposal has been sent to the Ministry of Steel, which will also seek concurrence from the Department of Investment and Public Asset Management.
Further approvals are expected from the Ministry of Corporate Affairs and the International Financial Services Centres Authority, the regulator for entities operating in GIFT City’s international financial services centre. The subsidiary will therefore become operational only after the required permissions are secured.
The board decision came as MOIL reported a 22.5% increase in standalone profit after tax for the first half of FY27. Profit rose to Rs149.39 crore from Rs121.94 crore in the corresponding period, while revenue from operations increased 8.7% to Rs740.01 crore from Rs680.8 crore.
The company’s operating volumes also improved during the six-month period. Manganese ore sales increased 9.67% to 7.78 lakh tonnes, while production rose 1.76% to 9.61 lakh tonnes. The figures provide the financial and operational backdrop for MOIL’s move to examine growth beyond its existing domestic mining operations.
Performance in the September quarter was weaker on a year-on-year basis. Standalone profit after tax fell to Rs61.78 crore from Rs70.44 crore, even as quarterly revenue rose to Rs369.13 crore from Rs332.74 crore.
The board also declared a first interim dividend of Rs2.20 per share. November 6 has been fixed as the record date, with payment scheduled for November 30.
MOIL chairperson and managing director V Suresh attributed the first-half performance to the company’s workforce and mining practices. He said the company was prioritising “Waste to Wealth” interventions aimed at converting low-grade mining products into higher-value assets.
Suresh said MOIL was focused on exploring new growth opportunities in domestic and international markets, including mining and downstream value addition. The proposed GIFT City subsidiary will now move through the approval process before it can undertake overseas mineral-related activities.
