Penny Stock Under Rs 50: CARE Ratings Assigned An A2+ Rating For Short-Term Bank Facilities

The shares of the company have an ROE of 17 per cent and an ROCE of 14 per cent.

HMA Agro Industries Limited has received a "CARE A2+" rating for its short-term bank facilities amounting to Rs 850 crore from Care Ratings Limited, as communicated on March 28, 2025. This rating applies to fund-based limits across State Bank of India, Yes Bank Ltd., and HDFC Bank Ltd., totalling Rs 830 crore, along with additional limits from State Bank of India and a proposed allocation, bringing the total rated facilities to Rs 850 crore.

Additionally, the company has entered into Facilities Agreements with Marya Frozen Agro Food Products Private Limited to utilise their infrastructure for frozen halal boneless buffalo meat operations, encompassing slaughtering, chilling, processing, freezing, and packing, thereby enhancing HMA's production capacity. This two-year agreement, commencing on March 3, 2025, grants HMA access to Marya Frozen's 298.00 MT per day processing capacity, with Marya Frozen responsible for obtaining necessary certifications and insurance. Notably, HMA Agro holds no equity in Marya Frozen, and the latter is not affiliated with HMA's promoters or group companies, ensuring the transaction is outside related party transaction regulations and involves no special rights such as director appointments or capital structure changes.

HMA Agro Industries Ltd, founded in 2008, is a leading Indian food trade company specializing in handling and exporting a variety of food and agricultural products. They are one of the biggest exporters of frozen buffalo meat in India, accounting for over 10 per cent of the nation's total exports in this category. Its offerings include frozen fresh buffalo meat, prepared and frozen natural products, vegetables, and cereals. The company's brands "Black Gold", "Kamil", and "HMA" are shipped to over 40 countries around the world. HMA Agro Industries has a strong focus on meat processing, operating four integrated plants in Aligarh, Mohali, Agra, and Parbhani, with plans to expand by setting up a fifth facility in Haryana.

The company has a market cap of over Rs 1,400 crore. The shares of the company have an ROE of 17 per cent and an ROCE of 14 per cent. Investors should keep an eye on this small-cap stock.

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