Sunlite Recycling Industries

Sunlite Recycling Industries Limited's ₹37 crore capital expenditure plan addresses its current capacity limits. With its core production lines running at 93.61% capacity, this expansion will scale total output from 25,000 MT to 45,000 MT. Crucially, the expansion focuses heavily on integration. By adding advanced Upcast and Conform continuous extrusion systems, Sunlite can process raw copper scrap into high-purity Oxygen-Free Copper (OFC) rods and finished copper busbars in-house. This enables the company to tap into demanding, high-margin industries like data centers, power transmission grids, EV charging infrastructure, and renewable energy installations. From a corporate finance perspective, this project is highly capital efficient. It is expected to generate strong returns on capital (ROCE) with low balance-sheet risk, as funding will rely primarily on internal cash flows and modest bank debt. Key risks include its reliance on imported copper scrap and the typical volatility of SME listings. With the new capacity scheduled to go live by Q1 FY2027-28, the strategic outlook remains positive.