LIC-Held Stock Below Rs 30 Hits Upper Circuit: Here’s Why!
Life Insurance Corporation of India (LIC) holds a 6.11 per cent stake
Indian equity benchmark indices are trading near the day’s high, driven by buying interest in heavyweight stocks such as Reliance Industries and HDFC Bank. Interestingly, Tuesday’s rally is broad-based, with the majority of sectors contributing, along with the broader market indices.
One stock that has bounced back from its 20-DMA and is currently locked at a 5 per cent upper circuit is Vakrangee Ltd., which is priced below Rs 30. The reason for the stock being locked at the upper circuit is the company’s announcement of sourcing and distributing its own private label apparel products under the e-commerce business category.
The company has successfully launched the pilot phase in the apparel segment and plans to leverage its extensive network of Vakrangee Kendra outlets, including both franchisee and master franchisee channels. Upon the successful completion of this pilot, Vakrangee intends to scale this initiative to a pan-India level. Additionally, the company has future plans to diversify into other consumer and retail product categories, further expanding its footprint in the broader market.
The newly launched apparel collection features a wide range of trendy, comfortable, and affordable clothing for men, suitable for all occasions. With this launch, the company aims to cater to a diverse audience by offering high-quality fabrics, modern designs, and exceptional value.
Vakrangee has emerged as one of India’s largest Last Mile Distribution Platforms, with both a physical and digital ecosystem in place, spanning the entire country. The company delivers real-time banking and financial services, ATM services, insurance, e-governance, e-commerce (including healthcare), and logistics services to underserved rural, semi-urban, and urban markets, enabling financial, social, and digital inclusion. Vakrangee has positioned itself as the “go-to market platform” for various business verticals, including fintech and digital platforms. Its assisted digital convenience stores, known as “Vakrangee Kendra,” serve as one-stop shops for accessing various services and products. Additionally, its digital platform, BharatEasy Mobile Super App, complements these physical outlets.
As per the shareholding pattern for the quarter ended June 2024, Life Insurance Corporation of India (LIC) holds a 6.11 per cent stake in Vakrangee, which translates to 65,814,647 shares. So far in 2024, Vakrangee's stock has surged by 53 per cent.
Disclaimer: The article is for informational purposes only and not investment advice.