52-week high alert: This small-cap company signs MOU to manufacture LED television and announces Rs 100 crore capex!
The stock has gained more than 100 per cent in just one year.
On May 29, 2023, PG Electroplast Limited informed in the exchange filing that the company has entered into an MoU with Jaina Group to establish a Joint Venture. The main focus of this joint venture company will be to undertake Original Design Manufacturing of Google-certified LED Televisions with an option later to expand the partnership to include products like Refrigerators, IT Hardware, Wearables, and Hearables. The Joint Venture Company will be jointly owned by PG Electroplast and Jaina Group 50 per cent each.
In addition to this partnership, PG Electroplast’s wholly owned subsidiary ‘PG Technoplast Private Limited’ also signed an MOU to for a 9-year term lease for an industrial building. The company will invest over Rs 100 crore and set up a world-class backwards integrated Room Air Conditioner manufacturing plant in the facility in Rajasthan.
Overall, these strategic moves by the company signify its efforts to diversify and expand its product portfolios and Joint Venture with Jaina Group to capitalize on the growing needs in consumer electronics. The positive development resulted in the company’s share hitting a fresh 52-week high.
PG Electroplast Limited is the flagship company of the PG Group and is one of the leading players in India in electronics manufacturing services. It is a diversified EMS providing OEM and ODM solutions for complete product and component manufacturing.