FIIs bought 18,00,000 shares in this multibagger civil construction stock with 35,000 per cent returns; Board likely to raise funds via preferential issue, QIP or rights issue!

The shares of the company have a PE of 12x whereas the sectoral PE is 19x with an ROE of 85.9 per cent & an ROCE of 83.8 per cent.

Indian markets soared today, with key indices ending sharply higher in green territory. The Sensex and Nifty-50 both climbed above 0.50 per cent and made a fresh 52-week high today.

In this bullish wave, Hazoor Multi Projects Ltd stood out and hit a 5 per cent upper circuit to Rs 405.05 per share from its previous closing of Rs 385.80. The stock’s 52-week high is 454 and its 52-week low is Rs 85.01.

Hazoor Multi Projects Limited informed that the meeting of the Board of Directors of the company is scheduled to be held on Friday, April 12, 2024, at 11.30 A.M. at the registered office of the Company, inter-alia, to transact the following businesses:

1. To increase the authorized share capital of the company and consequent alteration in the memorandum and articles of association of the company, if any.
2. To consider addition/alteration/modification in the object clause of the memorandum of association of the company.
3. Proposal for the further raising of funds, for the company’s growing business needs, by way of the issue of equity shares, warrants, other securities, convertible instruments through preferential issue, private placement, qualified institutional placement, rights issue, or such other permissible method as may be decided by the board, or any combination thereof, and to approve ancillary actions for the above-mentioned fundraising, subject to such statutory/regulatory approvals as may be necessary.
4. To seek members’ approval wherever applicable by means of passing the requisite resolution(s) for the above-said board decisions and other matters connected therewith and/or incidental thereto. 
5. To constitute a risk management committee.
6. To consider and approve any other item(s) with the permission of the chair.

Earlier, Hazoor Infra Projects Private Limited, a subsidiary of Arawali Kante Multi Projects Private Limited, for the rehabilitation and upgradation of NH-66 in Maharashtra under the government's NHDP-IV program. This project, valued at approximately Rs 1,130 crore, will see the four-lining of the Arawali to Kante section of the highway. The concessionaire will receive a combination of upfront payments, annuities with interest, and reimbursements for operation and maintenance costs to finance the project. This initiative will significantly improve connectivity and boost economic activity in the region.

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Incorporated in 1992, Hazoor Multi Projects Limited is engaged in the business of Infrastructure and Real Estate. According to the financials, Hazoor Multi Projects has a market cap of Rs 755 crore with a 5-year CAGR of 223 per cent. The company reported positive numbers in its Quarterly Results and annual results. As of February 2024, FIIs bought 18,00,000 shares and increased their stake to 17.25 per cent compared to 9.39 per cent in December 2023

The shares of the company have a PE of 12x whereas the sectoral PE is 19x with an ROE of 85.9 per cent & an ROCE of 83.8 per cent. The stock gave multibagger returns of 322 per cent in just 1 year, 11,815 per cent in 3 years and a whopping 35,000 per cent in 5 years. Investors should keep an eye on this micro-cap stock.

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