Game-Changing Deal: Multibagger Small-Cap Stock Secures Exclusive Agreement, Unleashing Growth Potential
The stock has witnessed significant buying, as it has provided multibagger returns of more than 150 percent in just one year
Universal Cables Limited (UCL) has signed a Manufacturing Technical Collaboration Agreement (MTCA) with NKT GmbH & Co. KG, Germany, to manufacture 400kV Extra High Voltage XLPE Underground Cables at UCL's manufacturing facility in Satna, Madhya Pradesh, India.
Under the MTCA, NKT will provide UCL with the Manufacturing Technical Information for 400kV Extra High Voltage XLPE Underground Cables and Systems. This includes technical know-how for Product & System design, manufacturing expertise, the supply of Jointing Accessories, Associated Accessories, and their installation in their integrated form.
NKT will also grant UCL an exclusive, non-transferable, and non-sublicensable right under the Manufacturing Technical Information to manufacture 400kV grade underground EHV Cables (Product) and/or process the Product at UCL's manufacturing facility in Satna. In addition to providing the Manufacturing Technical Information, NKT will also support UCL by supplying 400kV Cable Jointing and other Accessories.
NKT is a world-renowned manufacturer of, among other things, EHV power cables and cable jointing accessories, including other associated electrical equipment for EHV underground power transmission and distribution systems.
The agreement is a strategic move by UCL to enhance its manufacturing technology to cater to the 400kV XLPE cable market segment. With the growing demand for Extra High Voltage Cables in the power sector, there is potential for growth in the 400 KV voltage class of EHV cables. UCL aims to cater to this demand with its state-of-the-art Manufacturing Facility with VCV Technology located in Satna (M.P.), by inducting technical know-how and availing other support from globally renowned cable manufacturers in the domain. The company will have major growth opportunities by enhancing its manufacturing technology to cater to the 400kV XLPE cable market segment.
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Universal Cables Ltd is predominantly engaged in the business of manufacturing a wide range of power cables from 1.1kV to 400kV, as well as capacitors, turnkey projects relating thereto, and other types of wires and cables, conductors, etc.
On Friday, shares of Universal Cables closed 6.49 percent down at Rs 377.65 apiece on BSE.
The stock has witnessed significant buying, as it has provided multibagger returns of more than 150 percent in just one year. Keep a close eye on this trending stock.