JAINREC - Jain Resource
📢 Recent Corporate Announcements
Jain Resource Recycling Limited (JAINREC) has announced the successful passage of four key resolutions via postal ballot. Most notably, shareholders approved the utilization of IPO funds originally allocated for General Corporate Purposes to instead repay unsecured loans, with a 92.87% majority. Additionally, the remuneration for Managing Director Kamlesh Jain for FY 2026-27 and the re-designation of Atul Pareek for a subsidiary role were approved with high majorities. These approvals provide the company with greater financial flexibility and management stability.
- Approved utilization of IPO funds from General Corporate Purpose head for unsecured loan repayment with 92.87% majority.
- Remuneration for MD Kamlesh Jain for FY 2026-27 passed with 97.56% of votes in favor.
- Atul Pareek's re-designation as Whole-time Director of subsidiary Jain CY Circular Solutions approved by 99.98% of voters.
- Amendment to the Articles of Association passed with 100% support representing over 30.09 crore votes.
Jain Resource Recycling Limited (JAINREC) is acquiring a 26% equity stake in three wind power companies to facilitate captive electricity consumption. The target entities include Sea Sindu Green Energy, Sri Kamakshi Wind Power, and OM Sakthi Wind Power, with a total cash investment of ₹74.09 lakhs. This strategic move is intended to secure a renewable energy supply and optimize operational costs. The acquisitions were scheduled for completion by March 31, 2026, and do not represent a diversification of the company's core business.
- Acquisition of 26% stake in three wind power companies for a total consideration of ₹74.09 lakhs
- Individual investments include ₹26,000 for Sea Sindu, ₹13 lakh for Sri Kamakshi, and ₹60.83 lakh for OM Sakthi
- Target companies had a combined turnover of approximately ₹3.2 crore in FY 2024-25
- Move aimed at reducing energy costs through captive power generation from renewable sources
- Acquisitions are being funded entirely through cash consideration
Jain Resource Recycling Limited (JAINREC) has approved the acquisition of a 26% equity stake in three wind power generating companies to secure captive electricity supply. The total cash consideration for these acquisitions is ₹74.09 lakhs, involving Sea Sindu Green Energy, Sri Kamakshi Wind Power, and OM Sakthi Wind Power. This strategic move is designed to meet the minimum ownership requirements under the Electricity Rules, 2005, allowing the company to benefit from captive power consumption. The transaction is expected to be completed by March 31, 2026, and aims to optimize operational energy costs.
- Acquisition of 26% equity in Sea Sindu Green Energy, Sri Kamakshi Wind Power, and OM Sakthi Wind Power.
- Total investment outlay of ₹74.09 lakhs to be paid in cash.
- Strategic move to qualify as a 'captive user' under the Electricity Act, 2003, for lower power tariffs.
- Target companies are established wind power generators with a combined FY24-25 turnover of approximately ₹3.19 crore.
- Acquisitions are scheduled for completion by March 31, 2026.
Jain Resource Recycling Limited has issued a postal ballot notice to shareholders for several key resolutions. The company is seeking approval for a remuneration package for Managing Director Kamlesh Jain, capped at ₹5 crore for FY 2026-27. Notably, the company also proposes to utilize IPO funds previously earmarked for 'General Corporate Purposes' to repay unsecured loans. Other resolutions include the re-designation of a subsidiary director and amendments to the Articles of Association. The e-voting period is set for March 28 to April 26, 2026.
- Proposed annual remuneration for MD Kamlesh Jain capped at ₹5 crore for FY 2026-27, including a ₹30 lakh monthly gross salary.
- Special resolution proposed to reallocate IPO 'General Corporate Purpose' funds toward the repayment of unsecured loans.
- Approval sought for the re-designation and remuneration of Mr. Atul Pareek as Whole-Time Director of subsidiary Jain CY Circular Solutions.
- Amendment of the Company’s Articles of Association (AoA) is on the agenda for shareholder approval.
- Remote e-voting period for shareholders begins on March 28, 2026, and concludes on April 26, 2026.
Jain Resource Recycling Limited has announced the closure of its trading window starting April 01, 2026, in compliance with SEBI (Prohibition of Insider Trading) Regulations. This closure is ahead of the board's consideration and approval of the audited standalone and consolidated financial results for the quarter and year ending March 31, 2026. The window will remain closed for all directors, designated persons, and their relatives until 48 hours after the results are declared. The company will intimate the specific date of the board meeting separately.
- Trading window closure begins on Wednesday, April 01, 2026.
- Closure is for the purpose of approving audited financial results for Q4 and FY 2025-26.
- The window will reopen 48 hours after the official declaration of financial results.
- PAN of designated persons will be frozen by NSDL for trading during this period as per SEBI circulars.
Jain Resource Recycling Limited has announced a scheduled group meeting and plant visit for analysts and institutional investors on March 20, 2026. The interaction will take place at the company's manufacturing facility in Gummidipoondi, Tamil Nadu, starting at 9:00 AM IST. The company clarified that discussions will be based strictly on publicly available information, with no unpublished price sensitive information (UPSI) being shared. Such visits are standard practice for institutional investors to assess operational capabilities and facility standards.
- Scheduled a group meeting and plant visit for March 20, 2026, at 9:00 AM IST.
- The event will be held at the company's Gummidipoondi plant in Tamil Nadu.
- Discussions will be restricted to publicly available information to ensure SEBI compliance.
- The disclosure is made under Regulation 30(6) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
The Securities Appellate Tribunal (SAT) has granted an interim stay on a penalty recovery order issued by SEBI against Kamlesh Jain, the Promoter and Managing Director of Jain Resource Recycling Limited. The stay is conditional upon the MD depositing 50% of the penalty amount within four weeks of the January 30, 2026 order. The original SEBI order dated December 12, 2025, related to alleged insider trading in the shares of Refex Industries Limited. While the company maintains there is no direct financial impact on its operations, the legal proceedings against the MD are a matter of corporate governance oversight.
- SAT admitted the appeal filed by MD Kamlesh Jain against SEBI's December 12, 2025, adjudication order.
- A stay on penalty recovery was granted subject to a 50% deposit of the penalty amount within four weeks.
- The case involves alleged insider trading in the scrip of Refex Industries Limited, not JAINREC itself.
- The matter is listed for a further hearing before the tribunal on April 23, 2026.
- The company confirmed no direct financial implications as the appeal is filed in the MD's individual capacity.
Jain Resource Recycling Limited reported a robust 9M FY26 performance with revenue growing 38% YoY to ₹6,438 crores and PAT increasing 65% to ₹281 crores. The company is aggressively expanding into value-added copper products through its Jain Green Technologies unit, which is 80% complete and expected to start commissioning in February 2026. Strategic initiatives include a 25% stake acquisition in a Kuwaiti firm and a new copper recycling JV in Ahmedabad set for June 2026. EBITDA margins improved by 116 basis points to 7%, driven by better product mix and operating leverage.
- 9M FY26 Revenue grew 38% YoY to ₹6,438 crores with volume growth of 29.34%
- PAT surged 65% YoY to ₹281 crores, with PAT margins improving from 3.7% to 4.4%
- Copper value-added project (Unit 3) is 80% complete with Phase 1 commissioning starting Feb 2026
- New JV for copper recycling in Ahmedabad targets 72,000 MTPA capacity by June 2026
- Tin capacity expanded 4x from 125 MTPA to 500 MTPA to improve realizations
Jain Resource Recycling Limited (JAINREC) has disclosed a significant deviation in the utilization of its IPO proceeds for the quarter ended December 31, 2025. The company used ₹540 million from its General Corporate Purposes (GCP) allocation to repay an unsecured loan to its Managing Director, despite the prospectus explicitly stating no proceeds would be paid to promoters. Management has characterized this as an 'inadvertent error' and stated that the funds have since been returned by the promoter to the company. While the capital is restored, the breach of prospectus terms raises concerns regarding internal financial controls and corporate governance.
- ₹540 million of IPO proceeds were used to repay an unsecured loan to the Managing Director, violating specific prospectus terms.
- The deviation was flagged by monitoring agency CRISIL Ratings Limited as it contradicted the 'Other Confirmations' section of the offer document.
- The company raised ₹5,000 million through a fresh issue in September 2025, with ₹986.43 million earmarked for General Corporate Purposes.
- Management claims the funds have been returned to the company by the promoter to restore the balance for business use.
- The company must now comply with SEBI ICDR regulations regarding the monitoring of issue proceeds and potential shareholder approvals for the deviation.
Jain Resource Recycling Limited (JAINREC) has announced the rescheduling of its adjourned Audit Committee and Board of Directors meetings from February 13, 2026, to February 14, 2026. The primary purpose of the meeting is to review and consider the Monitoring Agency Report for the quarter ended December 31, 2025. The delay is attributed to the Monitoring Agency still being in the process of finalizing the report. This is a minor administrative adjustment following a previous adjournment notice issued on February 09, 2026.
- Meeting rescheduled from February 13, 2026, to Saturday, February 14, 2026
- Agenda focuses on reviewing the Monitoring Agency Report for the quarter ended December 31, 2025
- Delay is due to the Monitoring Agency finalizing the required report
- Follows a previous adjournment notification dated February 09, 2026
Jain Resource Recycling Limited (JAINREC) has announced a three-day schedule for meetings with analysts and institutional investors in Mumbai. The meetings, scheduled from February 17 to February 19, 2026, will involve 1x1 and group interactions starting from 10:00 A.M. IST. The company emphasized that discussions will focus on publicly available information and no unpublished price sensitive information (UPSI) will be shared. Such meetings are standard practice for listed companies to engage with the investment community and improve transparency.
- Investor meetings scheduled for three consecutive days from February 17 to February 19, 2026
- Sessions will commence at 10:00 A.M. IST daily in Mumbai
- Interaction format includes both one-on-one and group meetings with participants
- Company confirms that no unpublished price sensitive information (UPSI) will be discussed
Jain Resource Recycling Limited has informed the exchanges that the audio recording of its earnings call held on February 11, 2026, is now available for public access. The call discussed the company's unaudited financial results for the third quarter and nine months ended December 31, 2025. This disclosure is a standard regulatory requirement under SEBI (LODR) Regulations, 2015, to ensure transparency for all shareholders. Investors can access the recording via the company's official website link provided in the filing.
- Earnings call conducted on February 11, 2026, following Q3 FY26 results.
- Audio recording made available on the company's website under the results section.
- Disclosure made in compliance with Regulation 30 of SEBI LODR Regulations.
- Focus of the call was the unaudited financial performance for the nine months ended December 31, 2025.
Jain Resource Recycling Limited (JAINREC) delivered a robust performance for 9M FY26, with revenue growing 38% YoY to ₹6,438.1 crore and PAT surging 65% to ₹281.4 crore. The company is aggressively expanding its footprint through a 25% stake acquisition in Kuwait-based Abraj Al Khaleej and a new copper recycling JV in Ahmedabad. Strategic forward integration into value-added copper products and antimony extraction is expected to drive further margin expansion through FY27. The revenue mix remains strong with 70% exports and a significant 52% contribution from the copper segment.
- 9M FY26 Revenue increased by 38% YoY to ₹6,438.1 crore, while EBITDA grew by 65% to ₹449 crore.
- Profit After Tax (PAT) for 9M FY26 rose 65% YoY to ₹281.4 crore with margins improving from 3.7% to 4.4%.
- Approved 25% stake acquisition in Kuwait's Abraj Al Khaleej for ~$3 million to secure raw materials and Middle East presence.
- Setting up a 72,000 MTPA copper scrap recycling facility in Ahmedabad via a JV, expected to be operational by June 2026.
- Expanding into high-margin Antimony extraction with a ₹20 crore capex plant scheduled for commissioning in Q3 FY27.
Jain Resource Recycling Limited has confirmed zero deviation in the utilization of funds raised through its IPO in September 2025. Out of the Rs 5,000 million fresh issue, the company has fully utilized Rs 3,750 million for the pre-payment or scheduled repayment of borrowings. Additionally, Rs 986.43 million was allocated and spent on general corporate purposes. This transparency, verified by CRISIL Ratings and the Audit Committee, indicates disciplined financial management following the listing.
- Total IPO size of Rs 12,500 million, including a fresh issue of Rs 5,000 million.
- Zero deviation or variation reported in the utilization of IPO proceeds for the quarter ended Dec 2025.
- Rs 3,750 million utilized for debt repayment, strengthening the company's balance sheet.
- Rs 986.43 million deployed for general corporate purposes as per the prospectus.
- The report was reviewed by the Audit Committee and monitored by CRISIL Ratings Limited.
Jain Resource Recycling Limited has confirmed that there were no deviations or variations in the utilization of its IPO proceeds for the quarter ended December 31, 2025. The company raised a total of Rs. 12,500 million, including a fresh issue of Rs. 5,000 million. As per the report, Rs. 3,750 million has been utilized for debt pre-payment and Rs. 986.43 million for general corporate purposes, strictly adhering to the objects stated in the prospectus. The utilization was monitored by CRISIL Ratings Limited and reviewed by the company's Audit Committee.
- Total IPO funds raised amounted to Rs. 12,500 million on September 26, 2025.
- Zero deviation reported in the utilization of fresh issue proceeds of Rs. 5,000 million.
- Rs. 3,750 million fully utilized for pre-payment or scheduled repayment of outstanding borrowings.
- Rs. 986.43 million utilized for general corporate purposes as per the original allocation.
- Monitoring agency CRISIL Ratings Limited confirmed no variations in fund usage for the quarter.
Financial Performance
Revenue Growth by Segment
The company reported a 52% YoY revenue growth in Q2 FY26, reaching INR 2,113.7 Cr. By segment, Lead products contribute 48% of total revenue, Copper products contribute 46%, Aluminum products contribute 4%, and other segments account for 2%. H1 FY26 revenue grew 27% YoY to INR 3,663 Cr.
Geographic Revenue Split
For H1 FY26, the revenue mix is dominated by exports at 63%, while the domestic market accounts for 37%. This reflects a strong international footprint in the non-ferrous metal recycling market.
Profitability Margins
Gross Profit Margin improved to 11.1% in Q2 FY26 from 9.8% in Q2 FY25. PAT Margin increased to 4.7% in Q2 FY26 compared to 3.8% in the previous year's quarter. The improvement is attributed to the scrapping of import duties on lead and copper and better export advantages.
EBITDA Margin
EBITDA Margin stood at 7.6% in Q2 FY26, an increase of 127 bps from 6.3% in Q2 FY25. Absolute EBITDA grew 82% YoY to INR 160 Cr, driven by operational efficiencies and favorable duty structures.
Capital Expenditure
Planned capex includes INR 50 Cr for JRR, INR 30 Cr for an Ahmedabad-based JV, and an estimated INR 100 Cr over the next 2-3 years for new projects like tire, solar panel, and EV recycling.
Credit Rating & Borrowing
Crisil upgraded the long-term rating to 'Crisil A+/Stable' from 'Crisil A/Stable' in October 2025. Borrowing costs are expected to decrease as the company utilized INR 375 Cr from IPO proceeds to repay debt, leading to an estimated interest saving of INR 24-25 Cr annually.
Operational Drivers
Raw Materials
Primary raw materials include Lead scrap, Copper scrap (including barley and billets), and Aluminum scrap. These constitute the bulk of the Cost of Goods Sold, which was INR 1,879.3 Cr in Q2 FY26 (88.9% of revenue).
Import Sources
The company utilizes a deep sourcing network spanning over 120 countries, including a significant strategic partnership for sourcing from the United States.
Key Suppliers
A key strategic sourcing partner is C&Y, a global giant in the recycling industry based in the US. Other suppliers include various global scrap aggregators across 120+ countries.
Capacity Expansion
Current aluminum recycling capacity at Jain Green Technologies (JGT) is 6,000 MT. Future expansion is targeted toward tire recycling, solar panel recycling, and EV battery recycling to diversify the portfolio.
Raw Material Costs
Cost of Goods Sold represented 89.3% of revenue in H1 FY26. The company uses a hedging policy and price pass-through mechanisms to mitigate the impact of LME price fluctuations on raw material procurement.
Manufacturing Efficiency
Efficiency is driven by deep sourcing capabilities and the ability to process complex scrap like electric motor scrap through strategic partnerships.
Logistics & Distribution
Distribution is heavily export-oriented (63% of revenue), involving significant maritime logistics. Costs are managed through scale and established global trade routes.
Strategic Growth
Expected Growth Rate
20-25%
Growth Strategy
Growth will be achieved through a 20-25% CAGR by expanding into high-margin recycling segments such as EV batteries, solar panels, and tires. The company is also leveraging its recent IPO proceeds (INR 500 Cr fresh issue) to reduce interest costs and fund working capital for higher volumes.
Products & Services
Lead and lead alloys, copper ingots, copper billets, and aluminum alloys sold to various industrial end-users.
Brand Portfolio
Jain Metal Group, Jain Resource Recycling Limited (JRRL).
New Products/Services
New segments include tire recycling, solar panel recycling, and EV battery recycling, which are currently in advanced study stages with a planned INR 100 Cr investment.
Market Expansion
Expansion is focused on increasing domestic market share (currently 37%) while maintaining a strong 63% export presence. A new JV in Ahmedabad is part of the domestic footprint expansion.
Market Share & Ranking
The company holds an established market position in the non-ferrous metal recycling industry in India, though specific percentage market share is not disclosed.
Strategic Alliances
Strategic partnership with C&Y (USA) for scrap sourcing and a Joint Venture in Ahmedabad for localized recycling operations.
External Factors
Industry Trends
The non-ferrous recycling industry is growing at approximately 10-15% globally due to sustainability mandates. JAINREC is positioning itself as a multi-metal recycler to capture the shift toward circular economy practices.
Competitive Landscape
Operates in an intensely competitive industry with low operating margins (5-7%), competing with both domestic unorganized players and large global recyclers.
Competitive Moat
The moat is built on a 'deep sourcing' network in 120 countries and a 70-year legacy, which are difficult for new entrants to replicate. This network ensures raw material security even during global supply disruptions.
Macro Economic Sensitivity
Highly sensitive to global commodity prices (LME) and international trade policies. A 1% shift in LME prices directly impacts top-line revenue due to the benchmarked pricing model.
Consumer Behavior
Increasing industrial demand for recycled 'green' metals over primary metals is driving volume growth for the company's lead and copper products.
Geopolitical Risks
Exposure to trade barriers and environmental regulations in 120+ sourcing countries. Changes in import duties (like the recent reduction to zero) significantly impact profitability.
Regulatory & Governance
Industry Regulations
Operations are subject to pollution control board norms and international Basel Convention regulations regarding the cross-border movement of hazardous scrap metal.
Environmental Compliance
The company faces risks from tightened environmental norms. While specific ESG spend is not disclosed, it is a 'key monitorable' for credit ratings due to the nature of lead and copper smelting.
Taxation Policy Impact
Effective tax rate is approximately 26.4% based on H1 FY26 figures (PBT of INR 213 Cr and Tax of INR 56.2 Cr).
Legal Contingencies
The company recently completed the NCLT-ordered merger of JRPL. No specific pending high-value court cases or litigation values were disclosed in the provided documents.
Risk Analysis
Key Uncertainties
Vulnerability to intense competition and low value-addition margins (historically 4.8%-5.3%) remains a primary risk. Discontinuation of gold refining operations in Sharjah highlights the risk of entering volatile, low-margin sectors.
Geographic Concentration Risk
63% of revenue is derived from exports, making the company sensitive to international trade relations and global shipping costs.
Third Party Dependencies
High dependency on global scrap aggregators; however, this is diversified across 120 countries to prevent single-source failure.
Technology Obsolescence Risk
Risk is moderate; the company is actively investing in new technologies for EV and solar panel recycling to stay ahead of industry shifts.
Credit & Counterparty Risk
Receivables quality is generally strong, supported by an 'A+/Stable' credit rating and efficient working capital management.