Multibagger Penny Stock Below Rs 5 Hit Upper Circuit After Entering into a Strategic Joint Venture with B-Devasya Designs & Buildcon Pvt Ltd
The company has a market cap of Rs 146.14 crore and the stock has given multibagger returns of 288.33 per cent from its 52-week low of Re 0.60 per share.
Kretto Syscon Limited has announced a strategic joint venture with B-Devasya Designs & Buildcon Private Limited to develop a high-yield, mixed-use real estate project in Ghuma, West Ahmedabad, Gujarat. This partnership aligns with Kretto Syscon's strategy to invest in real estate assets with high appreciation potential and collaborate with experienced developers for successful execution. The project, with an estimated cost of Rs 250 million and projected revenue of Rs 480 million, will feature a G+7 structure with approximately 43,000 Sq. Ft. of super built-up area. Kretto Syscon will invest Rs 50 million, with profit sharing in proportion to the investment.
The project will offer affordable 1 and 2 BHK homes targeted at salaried employees and nuclear families, along with ground-floor retail spaces for essential community services. This design aims to maximise floor space utilisation, reduce structural costs and enable faster sales turnover with lower per-unit ticket sizes. Located in Ahmedabad's new urban expansion belt, Ghuma is part of TP-27, a zone earmarked for infrastructure acceleration by the Ahmedabad Municipal Corporation. The region's strategic location, rapid residential absorption in the sub-Rs 40 lakh segment and active urban infrastructure development make it an ideal location for this venture.
Kretto Syscon believes this project will significantly enhance shareholder value through strategic asset creation and profitable joint development. The company anticipates substantial capital appreciation in Ghuma by 2026, positioning this project to capitalise on Ahmedabad's dynamic real estate market. The next key milestone is the execution of the sale deed, followed by necessary government approvals and RERA registration, with the project expected to be completed and handed over within approximately five years from statutory approval.
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About the Company
Incorporated in 1994, Kretto Syscon Ltd operates in two primary sectors: real estate development and software development. In real estate, their services encompass the construction, purchase, sale, resale and rental of both residential and commercial properties. On the software front, the company is involved in designing, developing and dealing in computer software and solutions, undertaking IT-related assignments, networking and network management, data centre management and providing consultancy services. They also focus on developing, designing, distributing and dealing in systems and application software for microprocessor-based information systems, offshore software development projects and providing Internet service provider and solutions across various application areas, including emerging niche segments like the Internet.
On Thursday, shares of Kretto Syscon Ltd hit a 5 per cent upper circuit to Rs 2.33 per share from its previous closing of Rs 2.22 per share. The company has a market cap of Rs 146.14 crore and the stock has given multibagger returns of 288.33 per cent from its 52-week low of Re 0.60 per share.
Disclaimer: The article is for informational purposes only and not investment advice.