Overnight Digest: These small caps will be in focus on Tuesday

Sharda Cropchem, Global Education, Sejal Glass, Zodiac Energy, SEL Manufacturing Company, Wonder Fibromats, United Polyfab Gujarat, Pressman Advertising and Vishnu Chemicals made a fresh 52-week high today.  

Indian equity markets witnessed an ugly Monday, with blood all over Dalal Street! Bears have gained a tight grip on equity markets, as losses continued for the fifth straight day in a row. Reasons for the market crash are a combination of weak cues from global markets, heavy selling by FIIs and pre-budget jitters. Frontline benchmark indices Nifty 50 and Sensex plunged 2.66 per cent and 2.62 per cent, closing at 17,149.10 and 57,491.51 respectively. BSE Small-cap index plummeted 4.43 per cent i.e. 1,328.98.  

The following small-cap stocks are likely to be in focus on Tuesday, January 25, 2022:  

Hindustan Foods – The company has informed the exchange that it has signed a share purchase agreement with Reckitt Benckiser India Pvt Ltd to acquire the entire issued share capital of Reckitt Benckiser Scholl India Private Limited (RBSIPL). This marks the company’s entry into the fast-growing over-the-counter (OTC) healthcare and wellness segment as a contract manufacturer.  

The factory is an export-oriented unit inter alia into manufacturing and supply of foot care products. The factory would continue to act as a third-party manufacturer for Reckitt and its affiliates in India and abroad. The transaction is anticipated to close by Q1FY23 and is subject to certain customary regulations and other approvals.  

To quote from the company’s filing with the exchange, “All employees of the factory will be retained and Hindustan Foods Limited (HFL) is expected to leverage the potential by expanding site utilisation and capacities and thus increase the share of business for foot care products worldwide from this site.”   

WardWizard Innovations & Mobility – As a part of the Memorandum of Understanding (MoU) signed with the Government of Gujarat for the amount of Rs 500 crore, the company has jointly with its promoters & promoters’ group acquired 4 Million square feet of land with possession via MoU and agreement for sale in Vadodara for the development of electric vehicle (EV) ancillary project.

The company has said that the land will be utilized for the production of high-speed electric two-wheelers, electric three-wheelers (passenger segment), and R&D of electric four-wheelers as well as other future projects. The development of the EV ancillary cluster will begin from February 2022 in a phased manner. 

52-week High Stocks – Sharda Cropchem, Global Education, Sejal Glass, Zodiac Energy, SEL Manufacturing Company, Wonder Fibromats, United Polyfab Gujarat, Pressman Advertising and Vishnu Chemicals made a fresh 52-week high today.  

These small-cap stocks will likely be in focus on Tuesday, January 25, 2022.