Rs 9,000 crore order book: Board of this multibagger railways wagon company is likely to announce rights issue!

The stock is up by 93 per cent in 1 year and generated multibagger returns of over 130 per cent in 2 years.

Texmaco Rail & Engineering Ltd has informed that a meeting of the Board of Directors of the company is scheduled to be held on Monday, July 17, 2023 to, inter-alia, consider proposals for raising funds by way of the issue of one or more instruments including equity shares / convertible securities either by way of Preferential Issue/ Rights Issue / Qualified Institutions Placement / or a combination thereof or through any other mode stipulated under the applicable laws thereof and subject to such approvals as may be required.

Additionally, the company had intimated that it had received an order for 20,067 wagons valued at approximately Rs 6,450 crore (to be executed over a period of 39 months from the date of the contract) against the tender for wagons issued by the Indian Railways.

Furthermore, the above order has now been revised to 16,722 wagons valued at approximately Rs 5,385 crore. This revision is due to the early completion of the 2nd tranche (consisting of 3,345 wagons) out of the total 6 tranches to be supplied by the company.

Texmaco Rail & Engineering Ltd is an engineering infrastructure company & part of the Adventz Group. The company is involved in the business of manufacturing rolling stock, hydro-mechanical equipment, steel castings & construction of Rail EPC, bridges, and other steel structures.

On Friday, shares of Texmaco Rail & Engineering gained 1.02 per cent to Rs 80.51 per share with an intraday high of Rs 81.16 and an intraday low of Rs 79.50.

The company has a market cap of over Rs 2,600 crore and reported stellar Quarterly Results (Q4FY23) and annual results (FY23).

The stock is up by 93 per cent in 1 year and generated multibagger returns of over 130 per cent in 2 years. Investors should keep an eye on this Small-Cap stock.