On Radar: 90,00,000 warrants issued to promoters; profit doubled in small-cap pharma stock hits 52-week high!
The stock has demonstrated substantial resilience and growth, escalating by 95.2 per cent over the past year
On Friday, the Nifty commenced trading with a flat trajectory but gathered momentum during the final hours, culminating in a notable surge of 64.5 points, ultimately closing at 21,782. Despite a commendable rebound from intraday lows, the broader markets experienced a downturn, notably led by the Nifty Small-Cap index, which recorded a decline of approximately 1.40 per cent. However, amidst this backdrop, one standout performer emerged from the small-cap segment within the pharmaceutical domain, as it soared by nearly 12 per cent, achieving a fresh 52-week pinnacle of Rs 152.35 on the BSE.
This remarkable performer is SMS Pharmaceuticals Ltd (SMS), a distinguished entity listed on both the BSE and NSE, spearheaded by Ramesh Babu Potluri, serving as its Chairman and Managing Director. SMS specializes in the production of active pharmaceutical ingredients (APIs) and their intermediates, alongside engaging in contract manufacturing for API/bulk drugs. Presently, SMS operates two regulated facilities, namely Unit II and Unit VII, strategically situated in Telangana and Andhra Pradesh. Its global footprint extends across North America and Europe, catering to pharmaceutical enterprises spanning over 70 countries worldwide.
Recent quarterly disclosures from the company unveil a commendable growth trajectory, with sales surging by 8.52 per cent Year over Year (YoY) to Rs 161 crore. Furthermore, the operating profit stood at Rs 29 crore, while the net profit exhibited an impressive YoY doubling, ascending to Rs 12 crore from Rs 5 crore in Q3FY23. A pivotal development emerged as the Board endorsed the proposition to raise funds through the issuance of Convertible Equity Warrants to the Promoters/Promoters Group. This issuance, encompassing up to 90,00,000 (Ninety Lakhs) Warrants, each convertible into equity shares valued at Rs. 1/- each of the Company at an issue price of Rs. 127/- (inclusive of a premium of Rs. 126/-) for each Warrant, aggregates to Rs. 114,30,00,000/- (Rupees One Hundred Fourteen Crores and Thirty Lakhs Only) through preferential allotment.
Reflecting on its market performance, the stock has demonstrated substantial resilience and growth, escalating by 95.2 per cent over the past year, coupled with a commendable 22.84 per cent surge over the preceding three months.
Disclaimer: The article is for informational purposes only and not investment advice.
Related articles
-
Promoter of defence multibagger stock acquires additional 2,39,800 shares through open offer of this gems and jewelry company
-
Multibagger stock below Rs 20: Aditya Birla Group's stock big fundraising plans; will it be an alpha generator? Promoters to participate!
-
Promoter buying penny stock below Rs 5: Multibagger penny stock with a history of 38 years and 15,000 dealers; watch out!
-
Mukul Agrawal and Tata AIA-backed defence small-cap multibagger stock received a big order from the Ministry of Defence, company aims for Rs 900 crore in revenue!
-
Record high FIIs stake in this multibagger pharma stock: Exploring the key tailwinds!
-
President of India's small-cap stock surpasses Coal India in dividend yield; stock trades at single-digit PE - Check, do you hold?
-
Multibagger solar stock hits back-to-back upper circuits: Bonus and rights issue likely; watch out!
-
Tata group’s multibagger stock RSI above 90: Back-to-back fourth upper circuit; Is it time to book profits or buy on dips?
-
President of India's portfolio stock received order of Rs 18,21,33,918 from the Ministry of Defence - Order book Rs 4800 crore!
-
From Rs 1000 to a penny stock below Rs 6: Back-to-back nine upper circuit; Big turnaround after prospective resolution plan?!
-
Highest-ever dividend: Multibagger micro-cap stock with low PE and high dividend yield - A must-watch!
-
Ashish Kacholia-backed stock jumps 14 per cent with over 900 per cent profit surge and record quarterly revenue: A must-watch!
-
Is this Hinduja Group stock ready for a Tata Motors-like move after its Q3 earnings? It registered double-digit EBITDA and achieved a historic high in commercial vehicle (CV) volume!
-
Upper Circuit and Record-High FII Holding: Multibagger small-cap smart meter stock with Rs 19,000 crore order book - expects robust Q4 revenue; watch out!
-
Stocks below Rs 100: Highest volume recorded and a strong price move; don't miss the action!
-
Penny stock outperforming Suzlon: Back-to-Back upper circuit in this renewable energy multibagger stock!
-
Dheeraj Lohia’ stock locked at upper circuit: Gained Rs Rs 81,10,505 in just a single trading session; check the business model of the company!
-
Multibagger penny stock below Rs 2.5 locked at upper circuit: This textile company has 30-year contract with Aditya Birla Group for linen weaving and supplies uniforms to government!
-
First-ever overseas marine order: Multibagger micro-cap stock takes a significant step in expanding into the international market; aiming for a Rs 1,000 crore revenue!
-
Rs 2,145 crore order book: This multibagger small-cap stock receives a fresh order from Power Grid; chart suggest a fresh breakout!