High ROE & high ROCE multibagger civil construction stock; Board announces fundraising worth Rs 486,00,00,000 to accelerate growth!

The stock gave multibagger returns of 300 per cent in just 1 year, 11,100 per cent in 3 years and a whopping 29,700 per cent in 5 years.

Hazoor Multi Projects Limited plans to raise Rs 486 crore to fund further growth by issuing convertible warrants to non-promoter investors. These warrants can be converted into regular company shares for Rs 300 per share within 18 months. The company will also increase its authorized share capital to accommodate the new shares. This fundraising is subject to shareholder and regulatory approval. After the conversion of the warrants, the public's ownership of the company will increase from 78.92 per cent to 88.7 per cent

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 over Rs 700 crore with a 5-year CAGR of 220 per cent. The company reported positive numbers in its Quarterly Results and annual results.

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 300 per cent in just 1 year, 11,100 per cent in 3 years and a whopping 29,700 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.