41,000 per cent returns: Multibagger civil construction stock hit 52-week high as company is likely to propose a potential merger of Square Port Shipyard Pvt Ltd
The stock gave multibagger returns of 330 per cent in just 1 year and a whopping 3,600 per cent in 3 years.
Today, shares of Hazoor Multi Projects Ltd gained 4.86 per cent and made a fresh 52-week high of Rs 623 per share from its previous closing of Rs 594.10. The stock gave multibagger returns of 442 per cent from its 52-week low is Rs 115 per share.
The Board of Directors of the Company is scheduled to convene on Monday, September 16, 2024, at the registered office. The agenda includes evaluating a potential merger of Square Port Shipyard Private Limited with the Company. A "Specific Transaction Committee" will be formed to manage this process. The committee will work on behalf of the Company to facilitate, monitor, and ensure the timely implementation of the merger decision. Additionally, the Board will consider and approve any other items with the Chair's permission.
Hazoor Multi Projects Limited (HMPL) acquired 100 per cent equity shares of Square Port Shipyard Pvt Ltd for Rs 3.91 crore. HMPL stated that the acquisition was for economies of scale and diversification for better growth and expansion. While there is limited public information available about Square Port Shipyard Pvt Ltd.'s operations and projects, its recent acquisition by HMPL suggests potential growth and expansion in the shipbuilding and repair industry.
Recently, the company bagged orders and the lowest bidder. They are B.G. Shirke Const. Tech. Pvt Ltd awarded a Rs 30 crore contract for excavation work at multiple sites. Welspun Enterprises Limited gave a Rs 40 crore contract for stacking and dewatering works. Hazoor Multi Projects Limited also merged as the lowest bidder for a Rs 273.74 crore contract from MSIDC to widen and improve a road in Maharashtra.
Additionally, The Board of Directors of the company announced the stock split in the ratio 10:1 i.e., sub-division of equity shares of Rs 10 face value, 10 equity shares of face value of Re 1 each in the AGM meeting. The record date for the stock split is yet to be determined.
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About the Company
Hazoor Multi Projects Ltd, founded in 1992, has transitioned from residential construction to focus on infrastructure development. They primarily act as a subcontractor on national highway projects for government agencies like the Maharashtra State Road Development Corporation and the National Highways Authority of India. Additionally, Hazoor Multi Projects has ventured into the EPC (Engineering, Procurement, and Construction) contracting business. The company has a market cap of over Rs 1,100 crore.
Consolidated Results: According to Quarterly Results, the company reported net sales of Rs 70.26 crore and net profit of Rs 9,46 crore in Q1FY25. In its annual results, the company reported net sales of Rs 545 crore and a net profit of Rs 63.77 crore in FY24.
In June 2024, FIIs bought 19,29,785 shares and increased their stake to 19.18 per cent compared to 10.92 per cent in March 2024. The shares of the company have a PE of 15x whereas the sectoral PE is 26x with an ROE of 86 per cent & an ROCE of 84 per cent. The stock gave multibagger returns of 330 per cent in just 1 year and a whopping 3,600 per cent in 3 years. From Rs 1.50 to Rs 623 per share; the stock gained over 41,000 per cent in 5 years. Investors should keep an eye on this Small-Cap stock.
Disclaimer: The article is for informational purposes only and not investment advice.
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