Penny stock under Rs 35 hit 20 per cent upper circuit after signing MoUs worth Rs 220 crore with Government of Rajasthan at Rising Rajasthan 2024
The shares of the company saw a spurt in volume by more than 20.64 times on BSE.
On Tuesday, shares of Spectrum Foods Ltd hit a 20 per cent upper circuit to Rs 33 per share from its previous closing of Rs 27.50 with an intraday high of Rs 33 and an intraday low of Rs 27.05. The stock’s 52-week high is Rs 42.45 per share and its 52-week low is Rs 19.31 per share. The shares of the company saw a spurt in volume by more than 20.64 times on BSE.
Spectrum Foods Limited (SFL) has made a significant investment in Rajasthan's tourism sector by signing two MoUs worth a total of Rs 220 crore with the state government. The first project, a five-star resort in Ajmer (Pushkar), will require an investment of Rs 140 crore and create 150 direct jobs. Construction is already underway, and the resort is expected to open in the next six months. The second project, a five-star resort in Pali (Jawai), will require an investment of Rs 80 crore and create 150 direct jobs. It is expected to commence in 2026.
The Rajasthan government has introduced various incentives to promote tourism and hospitality, including investment subsidies, exemptions on taxes and duties, and interest subsidies. SFL is expected to benefit significantly from these incentives, with cumulative subsidy benefits estimated to reach up to ¥65 crores over seven years. These benefits will enhance the financial performance of SFL's upcoming projects and contribute to the growth of Rajasthan's tourism industry.
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By investing in these two luxury resorts, SFL aims to cater to the growing demand for high-quality accommodation in Rajasthan. The strategic locations of these resorts, coupled with the state government's support, are expected to attract both domestic and international tourists. SFL's commitment to developing world-class hospitality experiences aligns with the government's vision of positioning Rajasthan as a premier tourist destination.
Spectrum Foods Ltd. services the food industry. The company manufactures and sells spices and industrial salt. Spectrum Foods also participates in share trading activities. The company has a market cap of Rs 81.80 crore and debtor days have improved from 39.7 to 20.8 days.
The stock is up by 71 per cent from its 52-week low of Rs 19.31 per share and gave multibagger returns of over 300 per cent in 3 years. Investors should keep an eye on this micro-cap stock.
Disclaimer: The article is for informational purposes only and not investment advice.