Stock below Rs 10: Don't miss out on this stock's action as it announces the right issue!

The public holds approximately 61.80 per cent of the stock, while promoters hold 38.19 per cent.

Today, shares of Gyscoal Alloys Ltd are trading at Rs 3.71 apiece, up by 4.21 per cent. Recently, the company announced a right issue for the shareholders in the ratio of 110:100. The price for the right issue is Rs 2.75 apiece.

The record date was confirmed by the company to be December 23, 2022. The rights issue will go on sale starting on January 2, 2023 and will end on January 12, 2023 with an issue size of 17.89 crore fully paid-up equity shares at a price of 2.75 rupees each for a total of Rs 49.2 crore.

Gyscoal Alloys Ltd is engaged in the business of manufacturing stainless steel and mild steel long products from scrap. The public holds approximately 61.80 per cent of the stock, while promoters hold 38.19 per cent. In the most recent quarter, promoters reduced their stake by 29.45 percent in Q2FY23 compared to Q2FY22. 

Gyscoal Alloys Ltd announced plans to increase production capacity and resume steel exports following the removal of a 15 per cent export duty on steel exports. The Government of India has cut export duty on steel products and iron ore to nil with effect from November 2022. The stock has an ROE of 47.81 per cent which describes management efficiency and good profitability condition of the company. Investors should keep an eye on this stock.