Venus Pipes has forayed into fitting business and has approved a capex of Rs 175 crore for this via warrants and debts. 

"Fittings complement our existing pipes business and enable us to offer complete PFF (Piping, Fittings & Flanges) solutions to customers across various industries. This expansion diversifies our product portfolio and reinforces our commitment to provide comprehensive piping solutions to our customers," Arun Kothari, MD of Venus Pipes & Tubes was quoted as saying.

In addition to venturing into fittings, the company is enhancing its capacity for seamless and welded pipes and tubes. This expansion will be carried out in two phases, with the first phase focusing on value-added fittings and welded tubes, scheduled for completion by March 2025.

The second phase will include further capacity expansion for value-added fittings and welded/seamless pipes or tubes, slated for completion by December 2025.

To support this ambitious endeavor, Venus Pipes has approved a ₹175 crore capex plan, with ₹115 crore earmarked for the first phase and the remainder for the second phase. The company anticipates margins in the high teens from both phases.

40% of this approved capex will be funded via issue of warrants to promoters and non-promoter entities. Venus Pipes will issue up to 4.2 lakh convertible warrants, with each warrant being convertible into one equity share of ₹10 each.