1:1 Bonus Share & Rs 3,672 crore order book: Board of this multibagger civil construction company is likely to raise funds via rights issue or QIP

The stock gave multibagger returns of 351 per cent in just 1 year and a whopping 1,240 per cent in 5 years.

GPT Infraprojects Limited informed that a meeting of the Board of Directors of the company is scheduled to be held on Friday, July 05, 2024 inter-alia, to consider, evaluate and approve proposals to raise funds by issue of equity shares or other securities including through the preferential issue, qualified institutional placement, rights issue, or through any other permissible mode or a combination thereof, subject to such statutory/ regulatory approvals as may be required, including approval of shareholders of the Company, as applicable.

Earlier, the Board of Directors of GPT Infraprojects Limited (GPTINFRA) recommended a bonus issue in the ratio 1:1 i.e., 1 equity share of Rs 10 each for every 1 equity share of Rs 10 each held by the shareholders by the capitalization of Reserves, subject to approval of the same through postal ballot. The record date for bonus shares was Today, Wednesday, July 03, 2024.

Earlier, the company has been on a winning streak, securing multiple contracts in recent months. The company recently secured an order valued at Rs 26 crore from Transnet Freight Rail, South Africa, for the supply of concrete sleepers from their South African subsidiary. Additionally, GPTINFRA was declared the lowest bidder (L1) for a much larger project valued at Rs 554.94 crore by Rail Vikas Nigam Limited (RVNL). This project involves the construction of various components for an elevated expressway in West Bengal, including the viaduct portion, railway overbridges, ramps, underpasses, culverts, and an office building. They will also handle electrification and lighting for the project. Furthermore, GPT secured a separate order valued at Rs 487 crore in a joint venture, with their share amounting to Rs 126.82 crore, for the construction of a new railway line in Maharashtra.

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Established in 1980, GPT Infraprojects Limited, the leading infrastructure arm of Kolkata-based GPT Group, is a prominent player in both railway-focused civil and infrastructure projects (including bridges and ROBs) and concrete sleeper manufacturing for railways in India and Africa (with units in South Africa, Namibia, and Ghana). GPT stands out for its strong project execution capabilities, financial stability, and promising growth across its operations. The outstanding order book for the company now stands at approximately Rs 3,672 crore with a total order inflow for Fiscal 2025 of Rs 700 crore.

According to Quarterly Results, the net sales increased by 10 per cent to Rs 295.01 crore and net profit increased by 40.5 per cent to Rs 15.08 crore in Q4FY24 over Q4FY23 while in its annual results, the net sales increased by 25.9 per cent to Rs 1,018.28 crore and net profit increased by 98.1 per cent to Rs 56.52 crore in FY24 over FY23.

The company has a market cap of over Rs 1,700 crore. The stock gave multibagger returns of 351 per cent in just 1 year and a whopping 1,240 per cent in 5 years. Investors should keep an eye on this Small-Cap stock.

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