Rs 15,281.20 crore order book: Infra company invested Rs 20.31 crore in 8 solar subsidiaries via rights issue
The stock is up by 11.4 per cent from its 52-week low of Rs 921 per share and has given multibagger returns of over 450 per cent in 5 years.
H.G. Infra Engineering Limited (HGINFRA) has significantly expanded its solar energy portfolio by acquiring equity shares in eight of its solar project subsidiaries through a rights issue. These subsidiaries include H.G. Bapini, H.G. Barni, H.G. Hemera, H.G. Khariya, H.G. Kushlawa, H.G. Moolraj, H.G. Pichiyak, and H.G. Moriya Solar Project Private Limited. The total investment across these entities ranges from Rs 2,39,00,000 to Rs 3,00,00,000 for each, demonstrating a substantial commitment to the solar power sector.
All eight acquired entities were newly incorporated between June 20, 2024, and June 28, 2024, with their registered offices in Rajasthan, India. Their primary objective is to operate in the solar power field. Notably, none of these subsidiaries have commenced business operations yet, and therefore, have no turnover to report. Each entity has an authorised capital of either Rs 2,90,00,000, Rs 3,30,00,000, or Rs 2,50,00,000, with a subscribed and paid-up share capital of Rs 1,00,000 before this acquisition.
These acquisitions, completed on June 20, 2025, were executed as cash considerations and fall under related party transactions, given that the acquired entities are subsidiaries of H.G. Infra Engineering Limited. The company has clarified that apart from its shareholding, neither the promoter nor the promoter group or other group companies hold any additional interest in these newly acquired solar project subsidiaries. This strategic investment aims to expand HGINFRA's business and establish new solar power plants, marking a significant step in their diversification into renewable energy
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About the Company
H.G. Infra Engineering Limited is one of the major Indian companies that are into Engineering, Procurement, and Construction (EPC) services, with a main focus on road infrastructure. The company has expanded its portfolio to include railways, metro, solar power, and water projects, and has completed more than 10 HAM projects and has 26 ongoing projects in 13 Indian states. As a result of this, HGINFRA is a pre-qualified bidder for large EPC and HAM projects and has been accredited as an AA-class contractor by the Government of Rajasthan and an SS-class contractor by the Military Engineer Services.
Order Book: The company’s order book stands at Rs 15,281.20 crore as of March 31, 2025. The orders are bagged from various clients across India, including National Highways Authority of India (NHAI), Adani, Delhi Metro Rail Corporation (DMRC), Ministry of Road Transport & Highways, Government of India (MoRTH), Maharashtra State Road Development Corporation (MSRDC), Central Railway (CR), South Central Railway (SCR), Rail Vikas Nigam Ltd (RVNL), Jodhpur Vidyut Vitran Nigam Limited (JDVVNL) and North Central Railway (NCR).
As of March 2025, Abakkus Emerging Opportunities Fund – 1 (owned by a renowned ace investor, Sunil Singhania) owns a 1.36 per cent stake in the company. The stock has an ROE of 18 per cent and an ROCE of 17 per cent. The stock is up by 11.4 per cent from its 52-week low of Rs 921 per share and has given multibagger returns of over 450 per cent in 5 years.
Disclaimer: The article is for informational purposes only and not investment advice.