Penny stock under Rs 60 hit upper circuit as company bags new order worth Rs 100 crore from Reliance Industries Ltd; 5 times its market cap!
The shares of the company saw a spurt in volume by more than 6.62 times on BSE and up by 75.75 per cent from its 52-week low of Rs 33.03 per share.
Pradhin Ltd has strategically expanded its business operations into the high-growth sectors of Steel and Real Estate. This diversification aligns with the company's long-term vision of capitalizing on emerging market opportunities and expanding its footprint in these industries. As part of this new venture, Pradhin Ltd. is actively negotiating with Reliance Industries Ltd, a leading Indian conglomerate, to secure a significant order worth up to Rs 1 billion (Rs 100 crore). The proposed order entails the supply of Fe 600 grade TMT Bars and Beams to Reliance Industries' Jamnagar facility.
Key Details of the Potential Order
The potential order from Reliance Industries Ltd is expected to significantly boost Pradhan Ltd.'s revenue and strengthen its market position in the Steel sector. The key details of the proposed order include:
- Product Specifications: Fe 600 grade TMT Bars and Beams
- Order Value: Up to INR 1 billion (Rs. 100 crores)
- End User: Jamnagar facility of Reliance Industries Ltd.
- Sector: Steel & Real Estate
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Pradhin Ltd. has no shareholding in Reliance Industries Ltd. and the significant terms of the proposed agreement include an order value of up to Rs 100 crore, the supply of Fe 600 grade TMT Bars and Beams, a delivery timeline of 30 days from receipt of full payment, and 100 per cent advance payment terms.
The company's market capitalization is a relatively modest Rs 21.18 crore, yet it has secured an order worth nearly Rs 100 crore, which is almost five times its market value. On Monday, shares of Pradhin Ltd were locked in a 10 per cent upper circuit to Rs 58.05 per share from its previous closing of Rs 52.78 per share. The shares of the company saw a spurt in volume by more than 6.62 times on BSE and up by 75.75 per cent from its 52-week low of Rs 33.03 per share. Investors should keep an eye on this micro-cap stock.
Disclaimer: The article is for informational purposes only and not investment advice.
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