Hilltone Software Expands Gases Vertical with CO₂ and Argon

Hilltone Software and Gases Limited (BSE: 544308) is strategically expanding its Industrial Gases division using proceeds from its December 2025 preferential allotment of 22,47,800 equity shares at ₹10 face value plus ₹34 premium.

The company plans to broaden its portfolio from Oxygen and Nitrogen to include Carbon Dioxide (CO₂) and Argon gases. Key investments cover installation of 19 KL and 20 KL liquid storage tanks, procurement of 500 gas cylinders for bottling, and acquisition of a truck-mounted liquid gas tank for bulk transport.

Currently trading CO₂ and Argon via third-party suppliers limits margins, supply reliability, and control. In-house infrastructure will boost reliability, better serve customers, expand the base, and optimize procurement/distribution.

Expected benefits include 25% higher gross margins in gases, revenue growth, operational efficiencies, and 15% logistics cost savings from the truck tank. With 15+ years supplying Industrial/Medical Oxygen/Nitrogen from Santej, Gujarat, the firm operates three verticals: Gases (Gujarat), Eco Solutions (energy-saving devices like heat exchangers in Haryana), and Tech Solutions (IT consultancy in Gujarat).

Orders placed; installation/commissioning targeted by May 2026 for immediate bottling start. This aligns with infrastructure strengthening, cost optimization, and margin improvement in core gases. Disclosure per BSE filing on February 21, 2026.

Shares of Hilltone Software and Gases Limited was last trading in BSE at Rs. 56.74 as compared to the previous close of Rs. 57.50. The total number of shares traded during the day was 8198 in over 28 trades.

The stock hit an intraday high of Rs. 57.32 and intraday low of 54.71. The net turnover during the day was Rs. 458478.00.

Source : Equity Bulls

Keywords

HilltoneSoftwareandGases INE168C01013 IndustrialGases Expansion