Penny stock under Rs 10 with Rs 728.1 crore order book: This micro-cap construction company receives order worth Rs 53,00,00,000 from Gujarat Housing Board!

The stock is up by 60 per cent from its 52-week low of Rs 4.23 per share.

Nila Infrastructures Ltd announced that the company has received a letter of acceptance from Gujarat Housing Board. The company has been awarded a project for the redevelopment of an Integrated Group Housing Facility in Khokhara, Ahmedabad. The project involves the construction of 456 Low Income Group (LIG) affordable housing units at a total development cost of approximately Rs 53,00,00,000. The project will be implemented on a PPP (Public-Private Partnership) basis, where the company will receive transferable development rights of an aggregate value of Rs 53,00,00,000, along with the realization of an additional 104 (1bhk) and 224 (2bhk) housing units, and 11 commercial shops as consideration.

Earlier, the company has received a letter of acceptance from Gujarat Housing Board. The company has been awarded a project to redevelop an integrated group housing facility. The project will involve the construction of 300 high-income group (HIG) housing units and 18 shops for a total development cost of approximately Rs 142.73 crore. The project will be on a public-private partnership (PPP) basis, meaning that the company will be entitled to the proceeds from the sale of an additional 580 housing units and 6 commercial shops as its consideration. The order will be completed within 28 months including 4 months of approval process.

Nila Infrastructures Limited incorporated in 1990, is a flagship unit of the Ahmedabad-based Sambhaav Group. The company is involved in the construction of affordable housing projects, and the development of various infrastructures. As of June 30, 2023, the company’s order book stands at Rs 728.1 crore.

Talking about the financials, the company has a market cap of Rs 264 crore. The company reported excellent numbers in its Quarterly Results with net sales increased by 81 per cent to Rs 24.43 crore in Q1FY24 over Q1FY23. The company reported a net profit of Rs 0.23 crore in Q1FY24 compared to a net loss of Rs 0.46 crore in Q1FY23, an increase of 150 per cent.

On Monday, shares of Nila Infrastructures Ltd were gained 3.69 per cent to Rs 6.75 per share from its previous closing of Rs 6.51. The stock’s 52-week high is Rs 8.70 and its 52-week low is Rs 4.23.

The stock is up by 60 per cent from its 52-week low of Rs 4.23 per share. Investors should keep an eye on this micro-cap penny stock.

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