LIC-Backed IT Penny Stock Under Rs 40 In Green After Company And Bank Of Baroda Renew Agreement For Providing Banking Services On Pan India Basis
The stock’s 52-week high is Rs 37.72 per share and the stock is up by 88 per cent from its 52-week low of Rs 18.45 per share.
On Thursday, shares of Vakrangee Ltd gained 4.45 per cent to Rs 34.73 per share from its previous closing of Rs 33.25 per share with over 5 lakh shares changed hands.
Vakrangee and Bank of Baroda have renewed their partnership to expand financial inclusion across India. The renewed Corporate BC agreement will see Vakrangee continue to offer a wide range of banking services through its extensive network of over 14,000 Banking BC points. This collaboration aims to enhance financial accessibility for individuals in even the most remote areas of the country.
Through this partnership, Vakrangee Kendra outlets will act as crucial touchpoints for various banking services, including account opening, cash transactions, balance inquiries, and enrolment in social security schemes like Pradhan Mantri Suraksha Bima Yojana (PMSBY), Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY), and Atal Pension Yojana 1 (APY). This renewed agreement aligns with Vakrangee's Vision 20230 and its strategic focus on expanding its network of Vakrangee Kendras. Currently, Vakrangee boasts a robust presence with over 21,912 outlets spread across India, with a significant concentration (83%) in Tier 4 and 6 locations, ensuring that financial services reach even the most underserved communities.
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About the Company
Vakrangee Ltd., established in 1990, is a technology-focused company that aims to bridge the digital divide. It operates a network of "Next-Gen Vakrangee Kendras," franchise-based, one-stop convenience stores offering a range of services to rural, semi-urban, and urban India. The company primarily focuses on BFSI services, including banking, insurance, and ATM facilities. Additionally, Vakrangee provides e-commerce and logistics solutions, such as assisted online shopping, healthcare, travel services, telecom and bill payments, and courier services, effectively catering to the diverse needs of its customers in underserved areas.
The stock’s 52-week high is Rs 37.72 per share and the stock is up by 88 per cent from its 52-week low of Rs 18.45 per share. The company has a market cap of over Rs 3,700 crore and as of September 2024, the Life Insurance Corporation of India (LIC) owns a 5.07 per cent stake in the company. The company is almost debt-free as its current debt is just Rs 9.58 crore which is just 0.25 per cent of its current market cap. The shares of the company have a PE of 572x, an ROE of 4 per cent and an ROCE of 8 per cent. Investors should keep an eye on this Small-Cap IT stock.
Disclaimer: The article is for informational purposes only and not investment advice.