Multibagger penny stock under Rs 5 with 2000% returns: Company bags multi-year supply contract worth Rs 182,70,00,000 from Aster Biotech Ltd, UK
The stock gave multibagger returns of 200 per cent in 3 years and a whopping 2,000 per cent in 5 years.
Remedium Lifecare Limited has secured a multi-year supply contract with Aster Biotech Limited, a prominent pharmaceutical distribution company based in the United Kingdom. This agreement covers the supply of a variety of Active Pharmaceutical Ingredients (APIs), Intermediates and Specialty Chemicals.
The contract is scheduled to run for three years, from February 2025 to January 2028. The estimated value of the supplies to be delivered during the first year alone, specifically from February 2025 to January 2026, is approximately Rs 182,70,00,000 (One Hundred Eighty-Two Crores Seventy Lakh Rupees).
Remedium Lifecare Ltd., founded in 1988, is a pharmaceutical intermediary connecting drug manufacturers with essential raw materials. They specialize in procuring and distributing active pharmaceutical ingredients (APIs) and intermediates for API synthesis. Remedium serves both innovative and generic drug companies, supplying ingredients for cholesterol, depression, asthma, and allergy treatments. Their global sourcing network enables them to acquire and supply these materials internationally.
DSIJ's ‘Penny Pick’ service provides research-backed penny stock recommendations below Rs. 100. If this interests you, do download the service details here.
Remedium Lifecare Ltd has a market cap of over Rs 150 crore. According to Quarterly Results, the company reported net sales of Rs 38.15 crore and a net profit of Rs 0.76 crore in Q3FY25 while in its half-yearly results, the company reported net sales of Rs 140.93 crore and a net profit of Rs 4.18 crore in 9MFY25. In its annual results, the company reported total income increased by 698 per cent to Rs 4,062.80 crore and net profit increased by 504 per cent to Rs 32.72 crore in FY24 compared to FY23.
According to the shareholding pattern, the company's promoters own only a 1.11 per cent stake in the company and the maximum stake is owned by the public shareholders i.e. 98.89 per cent stake. The company's shares have an ROE of 123 per cent and an ROCE of 100 per cent. The stock gave multibagger returns of 200 per cent in 3 years and a whopping 2,000 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.