Ashish Kacholia bought 1,80,00,000 shares of multibagger penny stock below Rs 20, Board likely to announce rights issue!

The stock is up by 65 per cent in just 3 months and gave multibagger returns of 115 per cent in 6 months.

Indian stock markets ended the trading sessions in green today (November 28, 2023), with the BSE Sensex Index was up 0.31 per cent to 66,174.2 while the NSE Nifty-50 Index was up 0.48 per cent at 19,889.7. About 1,982 shares have advanced, 1811 have declined and 179 were unchanged on BSE.
The Adani Group's strong performance played a pivotal role in driving the Nifty-50 Index's remarkable surge, outpacing the Sensex Index. Adani Enterprises Ltd.'s stock and Adani Ports & Special Economic Zone Ltd.’s stock witnessed a meteoric rise of over 10 per cent each, propelling the Nifty-50 Index to rise. This exceptional performance of Adani Group stocks underscores the conglomerate's growing influence within the Indian stock market.

Along with the market in green, this multibagger penny stock defied the trend and surged by a 2 per cent upper circuit to reach Rs 17.02 per share. In recent trading sessions, the stock has been hitting back-to-back upper circuits. The stock’s 52-week high is Rs 17.68 and its 52-week low is Rs 5.18.

The company informed that a meeting of the Board of Directors is scheduled to be held on Thursday, November 30, 2023, through Video conferencing at 04:00 P.M to consider, inter alia, the proposal of fundraising by way of equity shares or other securities through a rights issue as may be permitted under applicable law, subject to such regulatory/statutory approvals as may be required and other related matters.

Earlier, an ace investor, Ashish Kacholia bought 1,80,00,000 via preferential issue of shares (warrants) at Rs 13.20 per share (face value is Rs 2 and premium is Rs 11.20) aggregating to Rs 23,76,00,000 or Rs 23.76 crore.

The penny stock is none other than JYOTI STRUCTURES LTD.

Jyoti Structures Limited was incorporated in 1974. The company is engaged in electricity, transmission, distribution and substation. The registered office of the Company is in Mumbai.

Talking about the financials, Jyoti Structures is a micro-cap company with a market cap of Rs 1,079.97 crore. According to the Quarterly Results, the net sales increased by 487 per cent to Rs 81.46 per cent in Q2FY24 compared to Q2FY23. The company posted a remarkable turnaround in Q2FY24, reporting a net profit of Rs 11.20 crore after incurring a net loss of Rs 4.03 crore in the previous quarter. In its annual results, the net sales increased by 5,123 per cent to Rs 229.23 crore in FY23 compared to FY22 while the company reported a net loss of Rs 4.07 crore in FY23 compared to a net loss of Rs 42.47 crore in FY22.

The stock is up by 65 per cent in just 3 months and gave multibagger returns of 115 per cent in 6 months. Investors should keep an eye on this micro-cap stock.

Disclaimer: The article is for informational purposes only and not investment advice.