Multibagger penny stock under 10: This small-cap company announces acquisition of substantial stakes in SKY 2.0 Club, Dubai (UAE) for USD 79 million – know more here!

The stock gave multibagger returns of over 150 per cent from its 52-week low of Rs 2.66 per share.

Vikas Lifecare Limited (VLL) makes the largest investment till date, in the acquisition of major stakes in the renowned SKY 2.0 Club, Dubai. The acquisition is a share swap deal signed between Vikas Lifecare Limited and the holding company Blue Sky Event Hall FZ-LLC, Dubai, for the acquisition of 60 per cent stakes in the SKY 2.0 Club business and all future business ventures in the relevant business segment at an enterprise valuation of about USD 130 Million. The acquisition process shall be completed within this fiscal year.

About SKY 2.0 Club, Dubai:  In the heart of Dubai Design District, SKY 2.0 reigns as the Middle East and Asia's largest open-air nightclub. Forget the ordinary; this architectural marvel is a sensory playground. Soaring under the stars, it blends cutting-edge technology with visionary design. Bendable screens, dazzling lights, and a pulsating sound system wrap the sphere-shaped venue in an immersive experience. From Shah Rukh Khan to international rap icons, SKY 2.0 has hosted the stars, guaranteeing unforgettable nights with world-class entertainment and impeccable service. Step into the future of nightlife at SKY 2.0.

About The Nightclub Business: SKY 2.0 recorded about USD 22.10 million of gross revenues accrued from the business during 2023, with about 38.80 per cent net profit margin and about 36 per cent growth in revenues registered compared with the preceding year.

The nightclub business on the global level aggregates about USD 31.46 billion while accelerating at a CAGR of 8.07 per cent, whereas on one hand the home turf for VLL, India with 25 per cent of the Population aged below 25 Years surfing on the surge in disposable income of Indians, growing at an exorbitant 17.4 per cent, and the shift towards modern cultural paradigm, offers a huge, virgin and niche market, which is merely a dot in the numbers put up by the global revenues generated from the clubbing businesses.

Earlier, in a bold diversification move, Vikas Lifecare acquired a 50 per cent stake in Dubai's renowned event organizer PME Entertainment, gaining access to their global expertise and prestigious clientele while injecting over Rs 100 crore to unlock exciting prospects in the dynamic entertainment and event industry, solidifying their position as a forward-thinking player in the evolving business landscape.

Additionally, Genesis Gas Solutions (a subsidiary company of Vikas Lifecare Ltd) and Indraprastha Gas Limited have officially launched their joint venture "IGL Genesis Technologies Limited" with a Rs 108 crore smart meter manufacturing plant in Noida, with Genesis contributing Rs 18.1 crore and IGL holding a 51 per cent stake. This plant, targeting July 2024 operation, will initially produce 10 lakh smart meters annually equipped with IoT features and in-built analytics.

Vikas Lifecare Ltd, a leading trader and manufacturer of polymer, rubber compounds and additives for plastics, synthetic & natural rubber, infra, agro products, FMCG products, etc. Foreign Institutional Investors (FIIs) bought 10,41,65,000 shares via preferential issue of shares. Coeus Global Opportunities Fund bought 4,16,50,000 shares, AG Dynamic Funds Limited bought 3,17,90,000 shares and Nakshatra Stressed Assets Fund bought 3,07,25,000 shares.

On Saturday, shares of Vikas Lifecare plunged 0.89 per cent to Rs 6.70 per share from its previous closing of Rs 6.76 with an intraday high of Rs 6.92 and an intraday low of Rs 6.66. The stock gave multibagger returns of over 150 per cent from its 52-week low of Rs 2.66 per share. Investors should keep an eye on this micro-cap stock.