Apollo Pipes’ Entry into the Ceramic Tiles Segment

Executive Summary Apollo Pipes Ltd., via its newly incorporated subsidiary Apollo Ceramics Ltd., has successfully acquired a 76% controlling stake and profit-sharing rights in Mazzini Tiles LLP for a cash consideration of ₹40.42 crore. This completed transaction marks Apollo’s strategic entry into the tiles and ceramics industry, significantly strengthening its footprint within the broader building materials ecosystem. Strategic Rationale & Value Creation The acquisition immediately equips Apollo Pipes with a fully operational manufacturing base in Morbi, Gujarat, an established product portfolio, and ready market access. By leveraging Mazzini’s strong positioning in Polished Glazed Vitrified Tiles (PGVT) and its existing domestic and international distribution networks, Apollo is positioned to scale operations with optimal speed and capital efficiency. Target Profile & Financial Highlights Incorporated in 2017, Mazzini Tiles brings an installed annual manufacturing capacity of 7.2 million square meters. The entity demonstrates a resilient financial trajectory, reporting a turnover of ₹87.15 crore in FY2026, marking robust growth from ₹76.67 crore in FY2025 and ₹78.23 crore in FY2024. Forward-Looking Growth Strategy This transaction is the foundational step in Apollo Pipes’ Board-approved ₹300-crore investment envelope dedicated to the ceramics and tiles segment. Management is committed to a disciplined, phased approach prioritizing sustainable returns and strict working-capital control. Key growth drivers include: Operational Scale: Improving capacity utilization and expanding the domestic dealer network. Market Reaction Reflecting positive investor sentiment regarding the strategic fit and growth potential, Apollo Pipes' shares closed 2.51% higher at ₹538.65 on the BSE following the announcement. Management remains focused on executing this integration to drive long-term shareholder value.