AIA Engineering Ltd Company Summary

AIA Engineering Ltd Summary

AIA Engineering Limited was incorporated on March 11, 1991, with the name Magotteaux (India) Private Limited. On November 4, 1978, Ahmedabad Induction Alloys Private Limited, promoted by Mr Bhadresh K Shah was incorporated. This company was merged with AIA Engineering Limited on April 1, 1991. Thereafter, the name of the company was changed to AIA Magotteaux Private Limited effective from May 11, 1992 and further was changed to AIA Engineering Limited on May 2, 2000. The Company is engaged in manufacturing of High Chrome Mill Internals. It designs, manufactures and sells a wide range of consumable wear parts (Mill Internals) which are used in the process of Crushing and Grinding in Cement, Mining, Thermal Power and Aggregate industries. The Companys current capacity stands at 4,60,000 MT of annual production of High Chrome Mill Internals. In the year 1995, the company made a technical collaboration with Southwestern Corporation (SWC), USA for process improvement in Raymond mills. In the year 1997, they associated with Alstom for process know-how for Stein designed mills for power plants. In September 2003, AIA Exports Pvt Ltd merged with the company with effect from April 1, 2002. In the same year, they acquired the 100% stake in Vega UK through Vega Middle East, thereby making all Vega companies wholly owned subsidiaries. During the year 2003-04, a wholly owned subsidiary in the name of Vega Industries (Canada) Inc was incorporated in Canada. On December 31, 2004, the company acquired entire business of Gray Cast Foundry Works (GCFW), a partnership firm and the manufacturing Division of Centricast Enterprises Pvt Ltd (CEPL).In 2005-06, the company has increased the production capacity of Castings by 1800 MT to 18600 MT. In 2006-07, they further increased the production capacity by 50000 MT to 68600 MT. In January 2007, the first phase of EOU division has commenced the trial production at their Greenfield Manufacturing facility at Moraiya in Ahmedabad. In 2008, AIA Engineering Ltd commissioned 1 lakh Mt Grinding Media Plant. From February 2008, PCCL has become a 100% Subsidiary of the company. In 2009, AIA Engineering Ltd started supply to mining companies. In 2011, the company enhanced manufacturing capacity to 2 lakh Mt. In 2013, the company achieved the milestone of 1 lakh Mt in annual sales to mining companies. On 19 January 2016, AIA Engineering announced that it has started commercial production under Phase I of its Greenfield project at GIDC, Kerala in Gujarat. The installed capacity under the first phase is 66,000 metric tonnes (Mt) per year. The company has completed its brownfield expansion of 14,000 Mt per year at its Trichy plant. With this expansion, the total installed capacity of wear parts of the Group will be augmented from 2.6 lakh Mt to 3.4 lakh Mt per year. In 2017, AIA Engineering completed Phase I of GIDC Kerala plant Greenfield project in Gujarat.On 23 May 2017, AIA Engineering informed the stock exchanges that Magotteaux International S.A. Belgium has initiated arbitral proceedings against the company and its managing director Mr. Bhadresh K Shah before the International Chamber of Commerce, London (ICC) and has claimed the reliefs of injunction and damages inter alia alleging infringement of its patent by AIA Engineering in relation to its Sintercast product and breach of the Settlement Deed in relation to its Sintercast product. According to Magotteaux, in its request for initiating Arbitration, the amount in controversy in the arbitral dispute is approximately USD 60 million, including costs and damages. AIA Engineering said it disputes this request and denies the allegations made therein and is confident of successfully defending the matter in accordance with law. As on 31 March 2018,the Companys capacity stands at 3,40,000 Mt of high chrome mill internals. The Company is in midst of expanding this capacity to 4,40,000 Mt by brownfield expansion at its existing plant in GIDC Kerala, near Ahmedabad in two phases of 50,000 Mt each. The incremental Capex to be incurred for this expansion is estimated at around Rs 350 Crore.During the year 2017-18, Vega Industries Chile SpA and AIA Ghana Limited, step down subsidiaries of the Company were incorporated by Vega Industries (Middle East) FZC. UAE, a Wholly Owned Subsidiary of the Company. During the year 2018-19, Vega Industries Australia Pty Ltd, step down subsidiary of the Company have been incorporated by Vega Industries (Middle East) FZC. UAE, a Wholly Owned Subsidiary of the Company. In 2019, the Company installed 8 Wind Turbines of 2.1 MW each. The manufacturing capacity of 50000 MT Greenfield project was commissioned at Kerala GIDC, Ahmedabad.During FY22, the Company installed 2 Wind Turbines of total 5.4 MW, taking total renewable energy capacity to 24.3 MW.During the year 2022-23, Company acquired 26% of Paid-up Equity Share Capital of Clean Max Meridius Private Limited and Max Meridius was made an Associate Company of the Company with effect from 21 December, 2022. The Company commissioned Mining Liners Plant with a capacity of 50,000 TPA in Quarter 2 of FY 2022-23.In 2023-24, Company along with its wholly owned subsidiary i.e. Vega Industries (Middle East) FZC has acquired a wholly owned subsidiary in Peru viz. Vega Industries Peru Limited. Vega Industries (Middle East) FZC, UAE has also acquired 43% stake in the business of Vega MPS Pty Limited, Australia. Vega Industries (Middle East) FZC, UAE, a wholly owned subsidiary of the Company has purchased 100% shareholding of Vega Industries Limited, USA from its wholly owned subsidiary i.e. Vega Industries Limited, UK. By virtue of this, Vega Industries Limited, USA became the wholly owned subsidiary of Vega Industries (Middle East) FZC, UAE and first level step down subsidiary of the Company. In 2024, Company added 20,000 MT of casting capacity by debottlenecking at Odhav. It further installed a hybrid project ( 3.3 MW Windmill + 1.80 MW solar) at Amreli District, Gujarat, taking the total renewable energy capacity to 37.38 MW