Multibagger penny stock under Rs 50: Company allotment of 5,27,500 equity shares consequent to conversion of warrants to 2 investors
From Rs 0.13 to Rs 40.50 per share, the stock rocketed by 31,000 per cent in 5 years.
Hazoor Multi Projects Limited (HMPL) has allotted 5,27,500 equity shares to two investors, Shilpaben Maheshkumar Shah and Ruturaj Bhalchandra Thakare, through a preferential allotment. These shares, with a face value of Re 1 each and an issue price of Rs 30 (including a premium of Rs 29), were issued upon the conversion of 52,750 warrants. These warrants were initially allotted at Rs 300 each, with 25 per cent paid upfront, entitling holders to convert them into an equal number of equity shares by paying the remaining 75 per cent within 18 months. This conversion, which followed a subdivision of the company's equity shares, has increased HMPL's issued and paid-up capital to Rs 22,49,61,410, consisting of 22,49,61,410 equity shares of Re 1 each, which rank pari-passu with existing shares. There are still 87,99,700 warrants outstanding for conversion.
The Board of Directors of Hazoor Multi Projects Limited (HMPL) recently approved a significant expansion of the company's main business objectives. This strategic move, reflected by new sub-clauses in their Memorandum of Association, allows HMPL to diversify into sectors such as Shipbuilding and Engineering, Ship Repair and Maintenance, Maritime Industry, Shipping Logistics and Transport, Mining and Quarrying, Oil and Gas, Environmental Engineering and Sustainability, and Hospitality, Lodging, Food and Beverage Services, and Related Travel and Tourism. This broadens HMPL's potential revenue streams. Additionally, HMPL secured a one-year, Rs 22.995 crore contract from the National Highways Authority of India for user fee collection and facility upkeep at the Shrishikalan Fee Plaza in Uttar Pradesh.
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About the Company
Hazoor Multi Projects Ltd is a leading Indian company that builds roads, bridges, and other civil engineering projects. They focus on good quality, safety, and finishing projects on time. They're known for doing excellent work. They have skilled workers and the right equipment to handle big and complex projects. Hazoor Multi Projects helps India grow by building important infrastructure that boosts the economy and makes travel easier.
The company has a market cap of Rs 855 crore. The company reported net sales of Rs 249 crore and a net profit of Rs 17 crore in its Quarterly Results (Q4FY25) while in its half-yearly results (H2FY25), the company reported net sales of Rs 414 crore and a net profit of Rs 20 crore. Looking at its annual results (FY25), the company reported net sales of Rs 638 crore and a net profit of Rs 40 crore. The Board has recommended a final dividend of Re. 0.20 per equity share (20 per cent) for the financial year 2024-25.
In FY25, DIIs took a fresh entry and bought 8,08,983 shares or 0.39 per cent stake compared to FY24. The company's shares have a PE of 10x whereas the sectoral PE is 21x. The stock gave multibagger returns of 175 per cent in just 2 years and a whopping 1,200 per cent in 3 years. From Rs 0.13 to Rs 40.50 per share, the stock rocketed by 31,000 per cent in 5 years.
Disclaimer: The article is for informational purposes only and not investment advice.