Penny stock under Rs 5: This micro-cap company bags new orders worth Rs 530 million; board approves rights issue!
Shares of the company gained more than 25 per cent in the last six months.
GG Engineering Limited informed in the exchange filing that the company has received an order worth Rs 320 million. The order involves supplying infrastructural steel which will be completed within the Q‐2 of the current FY. The company is targeting a 20%+ growth in revenue from the Infrastructural Steel business during the current F.Y. as compared to the preceding year. The company achieved Rs 995 million in revenues from Infrastructural Steel during FY 2022‐23 and has already executed Rs 332 million during 2023‐24 so far and the fresh orders will take it up to Rs 652 million by 30th September 2023.
Recently, the company also received an order worth Rs 210 million. The order involved supplying iron raw materials to prominent industrial houses of repute consuming steel as the primary raw material.
Earlier, on August 04, 2023, the rights issue committee of the company approved the allotment of 49,88,20,215 Fully Paid-up Rights Equity shares of the face value of Re. 1/- each at a price of Rs. 1/- per rights equity share to the eligible applicants.
G.G. Engineering Limited incorporated since 2006 has been in the business of Quality Metal Products including Heavy Steel Products. The company, diversifying from conventional businesses has been eyeing Bulk Steel Processing.
On Thursday, the stock opened at Rs 1.20, with a high and low of Rs 1.29 and Rs 1.16. The stock closed trading at Rs 1.23, down by 13.99 per cent.
Disclaimer: The article is for informational purposes only and not investment advice.
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