Apollo Pipes Limited has approved a ₹300 crore investment to enter the tiles and ceramics business, according to a filing submitted to the BSE and NSE. The company currently manufactures and distributes uPVC and CPVC plumbing systems, fittings, water storage tanks, PTMT taps, health faucets, bath fittings and solvents through its own dealer network.
Board Leaves Three Routes Open — Build, Contract Manufacture, or Acquire
The board of Apollo Pipes Limited, at its meeting on 31 August 2026, approved an investment plan of up to ₹300 crore for setting up one or more subsidiaries to enter the tiles and ceramics business.
The scope in the filing is deliberately broad. The proposed subsidiaries will be engaged in the manufacturing, “including contract manufacturing”, trading, marketing and distribution of tiles, ceramics and allied products — “including by acquiring operational and profitable manufacturing businesses.”
That phrasing leaves three distinct routes into the category open: building manufacturing capacity, contracting production out to an existing manufacturer, or buying an operating and profitable business outright. The company has not indicated which it favours, and the filing commits it to none of them exclusively.
Managing Director Sameer Gupta and Joint Managing Director Arun Agarwal have been severally authorised to incorporate the subsidiaries and to determine the manner and timing of investment within the approved ceiling.
Separately, the same board meeting approved the issuance of up to 31,00,000 fully convertible warrants at ₹610 each (including a ₹600 premium), aggregating up to ₹189.10 crore, to eight identified non-promoter investors on a preferential basis. The warrants convert to equity within a maximum of 18 months and would represent 6.31% of post-issue capital on a fully diluted basis. The company has not stated that the warrant proceeds are earmarked for the tiles investment. The board also approved raising authorised share capital from ₹50 crore to ₹60 crore to accommodate the shares that would be allotted on conversion.
Apollo Pipes has not disclosed how the ₹300 crore splits across the three routes, or when the tiles business is expected to go live.
