Shaily Engineering Plastics has incorporated a subsidiary in Abu Dhabi to manufacture pen injectors, adding a corporate milestone to its planned overseas expansion as healthcare becomes the largest part of its business.
Shaily Medtech Devices Manufacturing Ltd was incorporated on November 6. Shaily says it will hold the entire share capital. The new entity has not started business operations, its shares have yet to be issued, and the parent’s initial AED1 million cash subscription is still pending.
The Breakdown
The Abu Dhabi manufacturing plan predates this incorporation. Management announced it in February, with planned investment of AED130–150 million and annual capacity of approximately 75 million pen and auto-injector devices. The October investor presentation reiterated the investment range and capacity target.
On the October 30 earnings call, management reaffirmed that the Abu Dhabi expansion was expected to be ready by the end of FY28, the financial year ending March 2028. The November filing establishes the new company’s formation; it does not announce a factory opening, equipment commissioning or commercial production.
The AED1 million subscription is the proposed initial equity funding for the subsidiary. It should be read separately from the much larger investment planned for the facility. Neither amount represents completed project spending in the incorporation disclosure.
A healthcare-led shift
The expansion comes as Shaily’s revenue mix changes. Healthcare revenue reached ₹175.1 crore in the September quarter, up 78% from ₹98.6 crore a year earlier. It accounted for about 55% of consolidated revenue, compared with roughly 38% a year earlier.
Consumer revenue, meanwhile, fell 14% to ₹115.9 crore as weak home-furnishings demand in Europe and the United States weighed on that business. Consolidated quarterly revenue increased 24% to ₹319.5 crore. Healthcare’s growing contribution helps explain why medical-device manufacturing is taking a larger place in Shaily’s expansion plans.
Management said the company delivered 10.4 million devices during the quarter, with growth led by pen-injector platforms, particularly GLP-1 programmes. These are deliveries from the existing business, separate from the output envisaged for Abu Dhabi.
Two expansion timelines
There is also a separate addition of 25 million pens of capacity. In October, Shaily said automation equipment had arrived and was undergoing commissioning and validation. On the earnings call, management targeted commercial sales from that capacity in December, provided qualification went well.
That nearer-term ramp-up should not be folded into the Abu Dhabi project or treated as confirmed commercial output. The two programmes have different milestones and timelines, and planned annual capacity is not the same as devices sold.
The Crunch
The new subsidiary puts a legal entity in place for pen-injector manufacturing in Abu Dhabi. The next meaningful evidence will be funding, project execution and eventual production, alongside progress on the separate capacity ramp-up. For a company increasingly dependent on healthcare growth, delivering those operating milestones will matter more than incorporation alone.
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