VMS TMT Limited shares advanced in trading after the company announced that its board of directors has approved a scheme of amalgamation with Aditya Ultra Steel Limited (AUSL).

The proposed merger aims to consolidate operations into a single, larger steel manufacturing entity, a move management says will drive greater efficiency and scale.

The transaction remains subject to necessary regulatory approvals and shareholder consent.

The stock, which trades below the ₹50 mark, saw buying interest return as investors reacted to the corporate action.

In the broader Indian small-cap space, corporate restructuring has been a recurring theme, with market participants closely watching how such moves impact liquidity and valuation multiples.

The approval marks a significant step forward for VMS TMT, which has sought to strengthen its market position through strategic consolidation.