Tube Investments Board Clears ₹83 Crore Capex for Avadi Cold Rolled Steel Strips Capacity

Tube Investments of India Ltd has approved capital expenditure of up to ₹83 crore to expand its cold rolled steel strips facility in Avadi, Tamil Nadu, the company said in a statement covered by Autocar Professional. The board cleared the investment at its meeting on November 5, with the project expected to be completed in FY28.

Inside the Avadi Cold Rolled Steel Strips Project

The project sits within Tube Investments' Engineering division and will be primarily funded through internal accruals. The company said the exact increase in manufacturing capacity could not be determined at this stage, because the extent of the enhancement would depend on the product mix. The investment is aimed at meeting increasing demand for cold rolled steel strips.

Tube Investments, part of the Murugappa Group, operates across engineering, metal formed products and mobility, with its consolidated business also spanning electric vehicles, gears and gear products, power systems, industrial systems, semiconductors and medical products. CNBCTV18 reported that the board approved the ₹83 crore capacity expansion alongside quarterly results showing a 33% rise in profit and revenue, with consolidated revenue of ₹7,330 crore and net profit of ₹249 crore. CNBCTV18 also reported that subsidiary CG Power contributed significantly to the quarter.

Tube Investments' Recent Investment Record

According to akta.pro company records, Tube Investments invested ₹250 crore in TI Clean Mobility through Series C Compulsorily Convertible Preference Shares in March 2026 to scale Montra Electric. In February 2026 the company acquired an 87% stake in Orange Koi for up to ₹73 crore, entering metal injection molding and additive manufacturing for precision medical and defence components. The same records show full-year FY26 consolidated revenue of ₹22,847 crore, a 17% increase year on year.

Deals Leading Up to the Avadi Approval

In September 2026, Tube Investments said it would invest ₹250 crore in electric mobility subsidiary TI Clean Mobility through Series C Compulsorily Convertible Preference Shares, issuing 2.5 crore CCPS at ₹100 each, BusinessLine reported. In August 2026 the company raised its stake in Shanthi Gears Ltd to 73.16% by acquiring 20,64,713 shares through a block deal on August 21, 2026, according to ScanX. ScanX also reported that Tube Investments' Q1FY27 consolidated revenue rose 17% to ₹6,215.3 crore while profit after tax declined 3% on rising steel costs.

What Happens Next at Avadi

The Avadi expansion is expected to be completed in FY28, with funding primarily from internal accruals, the company said.