GPIL to Invest in Deccan Gold Mines’ Rights Issue – Strategic Foray into Gold Mining

In a strategic move to diversify into precious metals, Godawari Power & Ispat Limited (NSE: GPIL | BSE: 532734) announced on December 4, 2025, that its Board has approved acting as a Specific Investor in the proposed Rights Issue of Deccan Gold Mines Ltd (DGML).

Key Details from the Board Approval:

• Role in Rights Issue: GPIL will subscribe to the unsubscribed portion (if any) to ensure at least 90% of the total issue size is covered in case of shortfall.
• Upside Potential: GPIL reserves the right to take up the undersubscribed portion up to 100% of the Rights Issue, subject to not exceeding 25% of DGML’s post-issue paid-up and voting share capital (along with group companies) to comply with laws.
• Investment Terms: Equity shares at ₹80/- per share (including ₹79/- premium).
• Rationale: This is at DGML’s request, positioning GPIL as a backstop investor in DGML’s capital raise.
• Annexure: Full details on the investment disclosed as per SEBI Reg 30 in Annexure-A (not fully visible in the provided page, but likely includes amount, objects, etc.).

This marks GPIL’s entry into gold mining/exploration via DGML, which holds key assets like the Hutti Gold Mines belt projects. For a steel & power player like GPIL, this could hedge against commodity cycles and tap into India’s growing gold sector.