3,000 per cent returns in this multibagger penny stock: Board approves set up of new greenfield plant in Ahmedabad; Expects doubling of production capacity!

The stock gave multibagger returns of 160 per cent in just 1 year and a whopping 3,000 per cent over the span of 3 years.

Captain Pipes Ltd, a leading player in the PVC pipes industry, has announced that the board has approved a plan for setting up a greenfield plant near Ahmedabad at a total investment of Rs 25 crore. The proposed plant will have a capacity of 20,000 MT which will double the total production capacity from the current level.

The commercial production from the plant is expected to start before the end of 2024. The company has identified the land for setting up this plant and acquisition of the land will be concluded soon. The company will use the funds from internal accruals and bank financing for investment in the new plant.

Earlier, the company received a receipt of its highest-ever monthly export order amounting to USD 3,60,000 in August. The company is aiming to increase its share of export revenue in total revenue from 12 per cent in FY23 to 20 per cent within the next three years.

On Wednesday, shares of Captain Pipes Ltd plunged 0.08 per cent to Rs 24.31 per share with an intraday high of Rs 24.80 and an intraday low of Rs 24.28. The shares of the company saw a spurt in volume by more than 2 times on BSE.

Captain Pipes Ltd is engaged in the business of manufacturing and selling UPVC pipes and fittings. The company has a market cap of Rs 340 crore. The company reported positive numbers in its Quarterly Results and annual results. In FY23, the company ex-traded bonus shares in the ratio of 2:1 and stock split from a face value of Rs 10 to a face value of Rs 1.

The stock gave multibagger returns of 160 per cent in just 1 year and a whopping 3,000 per cent over the span of 3 years. Investors should keep an eye on this micro-cap stock.

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