1:1 Bonus Share: LIC-backed multibagger penny stock at Rs 4.07; Board allots 15,36,24,538 fully paid-up rights equity shares

The stock is up by 63 per cent from its 52-week low of Rs 2.50 per share & gave multibagger returns of over 600 per cent in just 3 years and a whopping 1,050 per cent in 5 years.

Integra Essentia Limited finalized the allotment of its Rights Issue. The company received approval from relevant authorities including the stock exchange (BSE), Merchant Bankers, and Registrar to the Issue. On July 1, 2024, the Board of Directors approved the issuance of 15,36,24,538 fully paid-up equity shares with a face value of Re 1 each for Rs 3.25 per share (including a premium of Rs 2.25 per share) to eligible applicants at a ratio of 20:119 (20 rights shares for every 119 existing shares). This allotment increased the company's paid-up capital to Rs 106,76,90,544. For further details, refer to the Letter of Offer (LOF) dated May 28, 2024. This translates to a potential capital raise of Rs 49.93 crore.

Recently, the company received a significant boost in the form of fresh orders worth Rs 210 million. This substantial inflow of business signifies positive growth for the company. Within the Infra segment, Integra received large orders for High-Tensile TOR Steel from Arochan Projects Pvt Ltd. This strengthens Integra's position in the infrastructure industry and ensures a steady stream of income. The Agro segment also witnessed continued success with repeat orders from established clients like Sarveshwar Foods Ltd and Sarveshwar Overseas Ltd. This highlights Integra's strong order book and the trust their clients have in the quality of their agricultural products. It's important to note that all these orders are classified as domestic spot orders, requiring immediate fulfilment within the current financial year's second quarter (FY 2024-25).

Moreover, Integra secured a landmark deal – their first-ever order to supply 500 metric tons of rice, valued at approximately Rs 14.25 million, to the prestigious ITC Group's Agri Division. This initial order comes with stringent quality requirements and a tight delivery window of just 15 days. The significance lies in ITC Group being a major player in the Indian market with a diversified business portfolio. Notably, their Agri-Business Division is a leading player in the export and domestic trading of various food products, including rice. This initial order opens doors for a potentially long-term and significant business relationship between Integra Essentia and ITC Group.

On Monday, shares of Integra Essentia Ltd, a multibagger stock from the FMCG sector, supported by the insurance giant Life Insurance Corporation (LIC) (owns 1.06 per cent); were plunged by 2 per cent to Rs 4.07 per share from its previous closing of Rs 4.15.

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About Integra Essentia Ltd

Integra Essentia Limited (IEL) is a multifaceted company that caters to the essential needs of modern life. Their business spans across four core sectors: food, clothing, infrastructure, and energy. Within these sectors, IEL offers a wide range of products and services, including agro products, textiles and garments, construction materials, renewable energy equipment, and more. They are committed to providing these essentials at an affordable cost to the end user. IEL is particularly focused on establishing itself as a leader in the food industry. They are investing heavily in this sector to ensure they can meet the growing demands of society and the nation.

According to Quarterly Results (Q4FY24), the net sales increased by 50.4 per cent to Rs 93.31 crore and net profit increased by 733.8 per cent to Rs 5.92 crore compared to Q3FY24. In its annual results, the net sales increased by 50.4 per cent to Rs 277.27 crore and net profit increased by 131.4 per cent to Rs 15.28 crore in FY24 compared to FY23.

The company in its board meeting held on January 13, 2024, considered and approved the allotment of 45,70,33,003 bonus equity shares to the existing shareholders in the ratio of 1:1, the same has been allocated to the shareholders on January 13, 2024. Expenses incurred with the Increase in authorised capital & bonus issue of Rs 90.25 lakh have been capitalised and adjusted from other equity during the year ended 31 March 2024.

The stock is up by 63 per cent from its 52-week low of Rs 2.50 per share & gave multibagger returns of over 600 per cent in just 3 years and a whopping 1,050 per cent in 5 years. Investors should keep an eye on this micro-cap stock.

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