Multibagger stock under Rs 5: This micro-cap company raises Rs 100 crore through Qualified Institutional Placement!
In FY23, net sales increased by 61.20 per cent and net profit skyrocketed by 900 per cent over FY22.
Vikas Ecotech Ltd informed that the company has approved funds raising through Qualified Institutional Placement (QIP) as the company gets the approval from the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE). The Fund-Raising Committee on May 31, 2023 which commenced at 5:50 P.M. and concluded at 6:30 P.M., has inter alia:
a) Approved size of the present trench (being 1st Tranche of QIP not exceeding Rs 50 crore and the remaining amount of Rs 50 crore will be raised by the company through second/subsequent tranches, if any). Issue amount not exceeding Rs 100 crore as approved by the members in the extra-ordinary general meeting dated February 27, 2023.
b) Approved and adopted the preliminary placement document dated May 30, 2023, together with the application form in connection with the issue.
c) Authorized the opening of the Issue today, i.e., May 31, 2023.
d) Approved the floor price for the Issue, being Rs 2.92 per Equity Share (“Floor Price”), based on the pricing formula as prescribed under the SEBI ICDR Regulations.
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On Thursday, shares of Vikas Ecotech gain 1.71 per cent to Rs 2.97 per share from its previous closing of Rs 2.92 with a day’s high of Rs 2.99 and a day’s low of Rs 2.9. The stock gave multibagger returns of 116 per cent in just 2 years.
Vikas Ecotech Limited is primarily engaged in the business of manufacturing speciality chemicals focused on additives and speciality polymer compounds.
According to the financials, Vikas Ecotech has a market cap of 282 crore. The net profit increased by 45.50 per cent in Q4FY23 over Q4FY22. In FY23, net sales increased by 61.20 per cent and net profit skyrocketed by 900 per cent over FY22. Investors should keep an eye on micro-cap stock.