5:1 Stock Split & Rs 3,000+ Crore Order Book: Multibagger Solar Stock To Keep Under Radar As Board Likely To Raise Rs 500 Crore Via Preferential Issue

The stock gave multibagger returns of over 1,100 per cent from its 52-week low of Rs 41.37 per share.

On Friday, shares of Bondada Engineering Ltd gained 0.23 per cent to Rs 573 per share from its previous closing of Rs 571.90. The stock’s 52-week high is Rs 753.98 per share and its 52-week low of Rs 46.60 per share.

The company informed that a meeting of the Board of Directors of the Company is scheduled to be held on Tuesday, October 22, 2024, inter alia, to consider and evaluate the following businesses:

• Consider and approve a proposal for raising of funds by way of issuance of equity shares or any other eligible securities of the Company, including debentures / non-convertible debt instruments along with warrants / convertible debentures/securities and/or any other equity-based instruments, in one or more tranches, through one or more public and/or private offerings, including by way of a preferential issue, qualified institutions placement and/or any other method, as may be decided by the Board, subject to such statutory/ regulatory approvals as may be applicable including the approval of shareholders of the Company wherever required, for an aggregate amount up to Rs 500 crore.
• To consider and discuss any other business with the permission of the Chairman.

Earlier, the company was awarded substantial new contracts by M/s. Maharashtra State Power Generation Company Limited (MAHAGENCO). These contracts, totalling a combined value of Rs. 15,22,50,21,214, encompass the design, engineering, supply, erection, testing, and commissioning of Crystalline Ground-mounted solar PV power plants across multiple districts in Maharashtra. The projects are part of the MSKVY 2.0 scheme and include a three-year operation and maintenance period. The contracts involve two separate scopes of work.

The first contract, worth Rs 11,32,24,64,036, focuses on the design, engineering, supply, erection, testing, and commissioning of Crystalline Ground-mounted solar PV power plants. The second contract, valued at Rs 3,90,25,57,178, specifically addresses the design, engineering, manufacture, supply, erection, testing, and commissioning of Crystalline Solar PV technology Grid interactive Solar PV power plants with dry cleaning. Both contracts are domestic projects and are expected to be completed within one year from the date of land allotment.

Furthermore, the shares of the company ex-traded stock split in the ratio 5:1 on September 02, 2024, i.e., the existing 1 equity share of the company having a face value of Rs 10 each fully paid-up shall be sub-divided/split into 5 equity shares having a face value of Rs 2 each fully paid-up.

Incorporated in 2012, Bondada Engineering Limited provides engineering, procurement, and construction (EPC) services and operations and maintenance (O&M) services to companies operating in the telecom and solar energy industry. As of March 31, 2024, the company’s order book stands at Rs 1,747 crore and including the above orders, the company order book crossed Rs 3,000 crore.

The company has a market cap of over Rs 6,000 crore. The stock gave multibagger returns of over 1,100 per cent from its 52-week low of Rs 41.37 per share. The shares of the company have an ROE of 37 per cent and an ROCE of 35 per cent. Investors should keep an eye on this stock.

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

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