20 Microns Ltd

Acquisition details

• Acquiring 99.99% partnership interest in M/s Shree Shrest Minerals, including business, assets and mining lease.
• Cash consideration of Rs 1.50 crore.
• Approval obtained from the Registrar of Firms, Rajasthan.
• Acquisition not a related party transaction; arm's length basis.
• Not an equity shares acquisition; target is a partnership firm.
• Completion expected shortly, subject to documentation and closing formalities.
• Target entity holds mining rights for quartz and feldspar in Rajasthan.
• Three-year turnover and profit data disclosed (2022-23 to 2024-25).
• Purpose: strengthen captive sourcing of industrial minerals; aligns with existing business.

Target at a glance

• Target: M/s Shree Shrest Minerals, Rajasthan-based mining partnership.
• Industry: Mining Quartz and Feldspar; mining lease in Bhilwara, Rajasthan.
• Incorporated 18 Dec 2008; operates in India.
• Turnover (latest three years): 2022-23 Rs 16,98,966; 2023-24 Rs 1,50,235; 2024-25 Rs 19,54,702.
• Country of presence: India.

Transaction terms

• Acquisition: 99.99% partnership interest in M/s Shree Shrest Minerals.
• Consideration: Rs 1.50 crore cash.
• Not a related-party transaction; promoters have no interest.
• Regulatory approvals: Registrar of Firms, Rajasthan approved reconstitution.
• Timeline: to be completed shortly; closing formalities required.
• Form of consideration: cash (no equity issued).
• Percentage acquired: 99.99%.

Rationale and background

• Purpose: strengthen captive sourcing of industrial minerals.
• Alignment: supports manufacturing, processing and trading of industrial minerals.
• Background: partnership firm; incorporated 2008; quartz and feldspar mining rights in Rajasthan.
• Turnover: 2022-23 Rs 16,98,966; 2023-24 Rs 1,50,235; 2024-25 Rs 19,54,702.
• Profit: 2022-23 Rs 1,94,364; 2023-24 Rs (2,50,585); 2024-25 Rs (3,01,205).

Regulatory & completion

• Approval: Registrar of Firms, Rajasthan approved reconstitution and partner change.
• Acquisition type: partnership stake, not equity shares.
• Completion anticipated shortly, subject to closing formalities.

Financial highlights

• Revenue from operations ₹2,447.2 Mn in Q1FY27; YoY -1.0%, QoQ -6.3%.
• EBITDA (excl OI & EI) ₹324.0 Mn; EBITDA margin 13.2%.
• PAT ₹177.4 Mn; EPS ₹5.04.

Capex & funding

• Capex ₹100 crore with 24-month phased deployment.
• Malaysia capacity expansion to 1.08 lakh MT/yr; quarrying 0.96 lakh MT by mid-FY2028.
• Funding mix: internal accruals + selective debt.

Growth targets

• Growth targets: 18% revenue CAGR; ROCE 18-20%; 20%+ market share by FY2030.

AGM details

• Date and time: July 31, 2026, 11:30 IST.
• Mode: VC/OAVM (no physical venue).
• Record date for voting entitlements: July 24, 2026.

Resolutions

• Resolution 1: Adoption of standalone and consolidated financial statements with reports.
• Resolution 2: Dividend declaration for FY2025-26.
• Resolution 3: Re-appointment of Mrs. Sejal Parikh as director (retiring by rotation).
• Resolution 4: Ratification of remuneration to Cost Auditors for FY2026-27.

Voting results

• Resolution 1 passed with 100% assent; negligible dissent.
• Resolution 2 passed with 100% assent; negligible dissent.
• Resolution 3 passed with 100% assent; negligible dissent.
• Resolution 4 passed with 100% assent; negligible dissent.

Dividend details

• Dividend approved; per-share amount not disclosed.

Directors

• Sejal Parikh re-appointed as director (retiring by rotation).

Auditors

• Cost Auditors' remuneration ratified for FY2026-27.

Consolidated results

• Quarter ended 30 Jun 2026: Consolidated revenue from operations Rs 24,472.03 lakh.
• Total consolidated revenue Rs 24,603.78 lakh for the quarter.
• Profit after tax (PAT) Rs 1,774.40 lakh in the quarter.
• PBT Rs 2,417.57 lakh; no explicit exceptional item for the quarter shown.
• EPS basic/diluted Rs 5.04 for the quarter.
• YoY total revenue change about -0.9%.

Standalone results

• Quarter ended 30 Jun 2026: Standalone revenue from operations Rs 21,273.46 lakh.
• Standalone total income Rs 21,503.88 lakh for the quarter.
• Standalone PAT Rs 1,616.17 lakh; EPS Rs 4.58 (basic/diluted).

Notes / business scope

• Group primarily operates in Micronised Minerals; Ind AS 108 disclosures not relevant.
• Board approved Standalone and Consolidated unaudited results; Limited Review Reports issued.
• Auditors: Manubhai & Shah LLP; date of board approval: July 31, 2026.

AGM Details

• Date: 31 July 2026.
• Mode: VC/OAVM.
• Start time: 11:30 IST; End time: 12:21 IST.

Key Resolutions

• Adoption of audited standalone and consolidated financial statements for FY2025-26 — Ordinary.
• Declaration of final dividend at ₹1.25 per equity share (25%) for FY2025-26 — Ordinary.
• Re-appointment of Sejal Parikh as Director liable to retire by rotation — Ordinary.
• Ratification of remuneration of Cost Auditors for FY2026-27 — Ordinary.
• Voting results to be declared by 3 August 2026.

Voting Status

• Voting results to be declared by 3 August 2026 and made available on exchanges and website.

Meeting Details

• Date: Friday, July 31, 2026; time and venue not disclosed.

Key Agenda Items

• Consider and approve unaudited standalone and consolidated financial results for quarter ended June 30, 2026.

Other Notes

• Trading window closed from July 1, 2026; reopens 48 hours after results are generally available.

Financial snapshot

• Standalone revenue: 82,403.69 lakhs; Consolidated revenue: 95,383.26 lakhs
• Standalone PAT: 6,023.06 lakhs; Consolidated PAT: 6,667.00 lakhs
• Standalone EBITDA: 10,316.78 lakhs; EBITDA margin: 12.9%
• EPS (basic/diluted): 17.07 (standalone); 18.94 (consolidated)
• YoY: revenue up 3.66% standalone; 4.50% consolidated; PAT up 6.87% standalone

Dividends & capital allocation

• Final dividend: Rs 1.25 per share for FY25-26; record date 17-Jul-2026
• Dividend payable by 29-Aug-2026; FY25 dividend also Rs 1.25 per share
• Acquisition: 20 Microns Nano Minerals stake increased to 99.99%
• Capital expenditure: planned capex of ₹100 crore over 24 months
• Acquisition of 20MNML stake details disclosed in governance notes

Growth strategy & roadmap

• Six growth pillars with 100 crore CAPEX over 24 months
• Sharper focus on speciality and high-performance materials
• Investment in digital backbone and AI-driven processes
• Accelerating export markets and global market access
• Strategic acquisitions and partnerships to build capacity and reach

Product portfolio & innovations

• 50+ specialty products across 8 end-use segments
• FY26 launches: TALC HFM 25 SD; White Kaolin Cosmetic Grade
• Other innovations: HYPERTHERM UT; HYDROXYLGEL A1
• Colido: next-generation crystalline waterproofing solution
• MinFert division expanding mineral-based agriculture products

Geography & exports

• Exports to 83+ countries; exports comprise around 14% of revenues

• Subsidiaries in Malaysia, Vietnam, UAE; global distribution footprint

• DSIR certification; 2-Star Export House status

• Board of 7 (3 EDs, 4 Independent Directors); four Board meetings in FY26

• Ajay I. Ranka retired; Prem Kumar Taneja appointed Independent Director

• Committees: Audit, Nomination & Remuneration, Stakeholders Relationship, CSR

• Familiarization programs and robust board evaluation process

Subsidiaries & associates

• Material subsidiary: 20 MNML; stake 99.99%; FY26 revenue 11,491.59 lakhs; PAT 740.69
• Other subsidiaries: 20 MCC Private Ltd, 20 SDN BHD, 20 FZE; 20 Vietnam; Goh Teik Lim Quarry; IQ Marble
• Associates: Dorfner-20 Microns; Sievert 20 Microns Building Materials; Ionix Advanced Materials
• 20 MNML acquisition increased control for strategic benefits

ESG & CSR

• CSR spend: 99.45 lakhs; shortfall 29.04 lakhs funded via carry-forward
• Waste-to-Fuel initiative enabling biogas to CNG/CBG
• Energy efficiency: 15% CAPEX for energy optimization; 15% carbon emission reduction target
• POSH, safety training, and World Environment Day activities

Audits, controls & risk

• Statutory auditors: M/s Manubhai & Shah LLP; no material qualifications
• Secretarial auditors: Parikh Dave & Associates; DSIR-certified R&D unit
• Internal controls: robust framework with three lines of defense; no material weaknesses
• Risk management: voluntary risk committee; ERM framework; ODR and BIS/AEO certifications

Dematerialisation status and certificate actions

• Dematerialisation requests received during quarter ended 30 June 2026 were processed and confirmed to depositories.
• Securities in the certificates have been listed on the exchanges where the earlier issued securities are listed.
• Physical certificates for dematerialisation were mutilated and cancelled after verification, with the depository's name substituted as registered owner.