Heavy buying: This multibagger railway wagon manufacturer acquires Multitech Auto Private Limited aims Rs 500 crore revenue in next 2 years!

Shares of the company have gained more than 180 per cent in the last one year.

Ramkrishna Forgings is all set to acquire Multitech Auto Private Limited and its wholly owned subsidiary Mal Metalliks Private Limited with a capacity to manufacture 21,600 MT p.a of Machined SG & CI Castings. Multitech Auto also has the capacity for Bar Draw Facility of 6000 MT p.a. The company has also acquired Mal Auto Products Private Limited.

Multitech Auto and Mal Metalliks presently manufacture Assembly Top Cover, Shift Cylinder, Assembly Gear, Differential Case, Differential Cover, Various types of Hubs, Crank Case, King Pin, Cotter Pin, Spring Pins, Shifter Shafts, Steering Spindles, Falcrum Pins & Rollers for HCV Brakes.

By venturing into the production and supply of the entire differential assembly and trailer axle assembly consisting of Casting and Forgings, the Company is well-positioned to become a major player in the market. The addition of these new product lines is expected to contribute significantly to the company's financial growth, with an estimated turnover of Rs 500-600 Crores within the next two years.

Recently, Ramkrishna Forgings Limited (RKFL) and Titagarh Rail Systems Limited (TRSL), was awarded the contract to manufacture and supply 15,40,000 forged wheels, with the total contract valued at Rs 12,226.5 crores.

The stock has given multibagger returns of over 180 per cent in the last one year and investors should keep a close eye on this stock.

Disclaimer: The article is for informational purposes only and not investment advice.