Promoter of the company sold 14,98,10,518 shares of this penny stock under Rs 5; Board announced rights issue worth Rs 49 crore!

Kiran Shroff
Promoter of the company sold 14,98,10,518 shares of this penny stock under Rs 5; Board announced rights issue worth Rs 49 crore!

The stock is up by 76.35 per cent from its 52-week low of Rs 2.41 per share.

On Friday, shares of Seacoast Shipping Services Limited hit 5 per cent to Rs 4.25 per share from its previous closing of Rs 4.05. The shares of the company saw a spurt in volume by more than 1.01 times on BSE. The stock has a PE of 10.8x, an ROE of 26 per cent and an ROCE of 28 per cent. The stock is up by 76.35 per cent from its 52-week low of Rs 2.41 per share.

Seacoast Shipping Services Ltd (SSSL), established in 2005, is a leading logistics provider in Gujarat, India, specializing in dry bulk logistics, container freight forwarding, and inland road logistics. They have grown into one of the largest freight forwarders in the state and are among the top 3 for handling agricultural exports in containers from Mundra port. Annually, SSSL facilitates the transportation of over 5 million metric tons of bulk and unitized cargo across the globe.

The company's Board of Directors is considering raising up to Rs 49 crore by issuing new Re 1 face-value shares to existing shareholders through a rights offering. A committee will decide the specifics like number of shares per shareholder, price, timeline and any intermediaries needed. This follows the Board approving the company's financial statements and a draft offer letter for the rights issue, which must be approved by relevant authorities.

Also Read: Penny stock at Rs 1.87 hits 52-week high: Company signs an MoU worth Rs 25,00,00,000 with Felix Industries for renewable energy; details inside!

Talking about the financials, the company has a market cap of over Rs 200 crore. According to its Quarterly Results, the net sales increased by 8.25 per cent to Rs 125.02 crore and net profit skyrocketed by 518 per cent to Rs 7.50 crore in Q4FY24 over Q4FY23. In its annual results, the net sales decreased by 13 per cent to Rs 374.16 crore and the net profit increased by 42 per cent to Rs 20.29 crore in FY24 over FY23.

The promoter of the company - Manishkumar Raichand Shah sold 14,98,10,518 shares and decreased the total promoter holding to 0.04 per cent compared to 44.55 per cent in March 2023. Investors should keep an eye on this micro-cap stock.

Disclaimer: The article is for informational purposes only and not investment advice. 

DSIJ's ‘Penny Pick’ service provides research-backed penny stock recommendations below Rs. 100. If this interests you, do download the service details here.

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