1,400 per cent returns: Multibagger small-cap company is undertaking development of a mixed-use township with revenue potential of Rs 550 crore!
The stock gave multibagger returns of 740 per cent in 2 years and over 1,400 per cent in 3 years.
Sindhu Trade Links Limited informed that the company is undertaking the development of a mixed-use township at Bilaspur, Chhattisgarh. Bilaspur, also known as The City of Festivals, is one of the 100 Indian cities to be developed as a Smart city under the Smart Cities Mission. The proposed township is spread over approx., 63 acres, out of which the company already owns approx. 47 acres of land and has tied up with other partners for another 16 acres approx.
The project consists of residential plotted development, residential group housing, retail shopping mall and also consists of all the required social infrastructure for a world-class development in this region. The total development potential of the site is approx. 1.5 million sq. ft., with some possible upsides on built-up villas & apartment sales in the latter phases, instead of plotted land sales.
The total revenue potential of this development is approx. Rs 550 crore, based on the ongoing property rates in the vicinity. STLL would invest approx. Rs 200 crore in this project, with funds being raised through internal accruals and construction finance.
The company is all set to start this project in the current financial year 23-24. The project is expected to be launched in Q4 of this financial year and STLL will be able to book revenue starting next financial year.
Besides this, the Company is also looking to explore some other Real Estate Developments in the near future on the various lands owned by the company across various locations in the country and expects that this division of the company will be a Major Contributor to the revenues and profits of the company in the years to come.
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Sindhu Trade Links Ltd is primarily engaged in transportation logistics and support services. The company through its subsidiaries is also engaged in diversified businesses like media, overseas coal mining, biomass-based power generation etc.
The company has a market cap of over Rs 4,000 crore with a CAGR of 56 per cent in 5 years. The stock gave multibagger returns of 740 per cent in 2 years and over 1,400 per cent in 3 years. Investors should keep an eye on this Small-Cap stock.
Disclaimer: The article is for informational purposes only and not investment advice.