10:1 Stock Split: FIIs bought 27,73,291 shares of this multibagger pharma stock below Rs 75; Board allocated 47,18,080 equity shares to non-promoters via preferential issue!
From Rs 22 per share (52-week low) to Rs 70.17 per share, the stock gave multibagger returns of over 200 per cent.
Sigachi Industries Limited informed that the Board of Directors of the company at its meeting held today, i.e. Wednesday, March 06, 2023, at 10:00 AM has considered and approved inter alia the following:
- Allotment of 47,18,080 equity shares of Rs 1 each to non-promoters of 47,18,080 (pre-split – 4,71,808) warrants at an issue price of Rs 26.1 per share.
Earlier, Sigachi Industries Limited and iMass Investments formed a joint venture called Sigachi Global to tap into the UAE's food and pharmaceutical markets. Sigachi Global will manage Sigachi's core businesses in pharmaceuticals, food & nutrition, and operations & management through separate entities. Sigachi Industries will hold a majority stake (75 per cent) in the joint venture, aiming to generate USDS 54 million in revenue by 2029. The venture leverages both companies' strengths, combining iMass/iConsult's market expertise with Sigachi's technology to provide superior offerings to customers in the Gulf Cooperation Council (GCC).
About the company: Sigachi Industries Limited, publicly listed in NSE and BSE, is a globally recognized pharmaceutical company known for its unwavering commitment to delivering high-quality excipients, vitamin mineral nutrient blends, APIs, and O&M services. With over 33 years of industry experience, Sigachi has emerged as a trusted partner for pharmaceutical and nutraceutical companies spread across 62 countries. The company's diverse product portfolio is manufactured in 5 multilocational facilities present in Telangana, Gujarat and Karnataka which hold global standard certifications. Being headquartered in Hyderabad, Sigachi Industries Limited has subsidiaries in the US and UAE.
Today, shares of Sigachi Industries plunged 3.74 per cent to Rs 70.12 per share from its previous closing of Rs 72.90 with an intraday high of Rs 73.42 and an intraday low of Rs 68.45. The company has a market cap of over Rs 2,200 crore and has delivered good profit growth of 45 per cent CAGR over the last 5 years.
The company announced stellar Quarterly Results (Q3FY24) and nine-month results (9MFY24) for the financial year 2024. According to quarterly results, revenue increased by 61.2 per cent to Rs 110.9 crore, EBITDA increased by 61.4 per cent to Rs 22.6 crore, PBT increased by 60.2 per cent to Rs 19.7 crore and PAT increased by 65.3 per cent to Rs 16.2 crore in Q3FY24 compared to Q3FY24. According to nine-month results, revenue increased by 28.4 per cent to Rs 294.8 crore, EBITDA increased by 29.7 per cent to Rs 60.3 crore, PBT increased by 19 per cent to Rs 52.5 crore and PAT increased by 16 per cent to Rs 42 crore in 9MFY24 compared to 9MFY24.
In December 2023, Foreign Institutional Investors (FIIs) bought 27,73,291 shares of this company and increased their stake to 1.82 per cent from 0.95 per cent in September 2023. The company ex-traded the stock split of equity shares from Rs 10 to Rs 1 on October 09, 2023.
From Rs 22 per share (52-week low) to Rs 70.17 per share, the stock gave multibagger returns of over 200 per cent. Investors should keep an eye on this Small-Cap pharma stock.
Disclaimer: The article is for informational purposes only and not investment advice.
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