Stock under Rs 5 In focus As Patanjali Food & Herbal Park, Falcone Peak Fund among others to invest up to Rs 99.50 crore in this company through preferential warrants

The stock is up by 49.7 per cent from its 52-week low of Rs 1.57 per share and it is trading at 0.29 times its book value.

On Monday, shares of KBC Global Ltd gained 0.43 per cent to Rs 2.35 per share from its previous closing of Rs 2.34 per share. The stock is up by 49.7 per cent from its 52-week low of Rs 1.57 per share and it is trading at 0.29 times its book value. The company has a market cap of Rs 393 crore.

Patanjali Food and Herbal Park, Falcone Peak Fund (CEIC) Ltd and other investors are investing up to Rs 99.50 crore through convertible preferential warrants in KBC Global Ltd (previously known as Karda Construction Ltd).

The board of directors approved issuing 45.23 crore warrants to non-promoters at Rs 2.20 per warrant. These warrants will convert into equity shares with a face value of Re 1 each. The proceeds will be used to repay debt. An extraordinary general meeting is scheduled for November 15, 2024.

Falcone Peak Fund (CEIC) Ltd is proposed to be allotted 26 crore warrants, Patanjali companies will receive 4.55 crore warrants and Foresight Holding Pvt Ltd will get 2.28 crore warrants. After the issue, Falcone Peak Fund (CEIC) Ltd will have an 8.48 per cent stake, Patanjali companies will have around 1.48 per cent and Foresight Holding Pvt Ltd will have around 1.04 per cent.

The warrants are issued under the SEBI (Issue of Capital and Disclosures Requirements) Regulations, 2018 and will convert into equity shares within 18 months of allotment.

KBC Infrastructure Ltd, a subsidiary of KBC Global, has entered into a MoU with the Liberia Special Economic Zone Authority for the construction and development of residential building complexes, low-cost housing and commercial space in the SEZ. The project is estimated to cost USD 12.5 million and is expected to start in Q2 2025 and be completed within three years.

KBC Global Ltd, through its subsidiary Karda International Infrastructure Ltd, has secured a USD 20 million civil engineering subcontract from CRJE (East Africa) Ltd. This contract marks KBC Global’s entry into Africa’s infrastructure development.

The company has started a new project in Deolali, Nashik. The project is located at Survey No. 87/2/2B, Plot No. 4 and has a proposed area of 31,998 sq. ft with six commercial and twenty-two residential units.

The company successfully fulfilled its payment obligation to Capri Global Capital Ltd and entered into a Memorandum of Understanding (MOU) with them, securing a waiver of non-financial penal interest. The outstanding balance with Capri Global Capital Ltd is Rs 13.50 crore.

The company has handed over possession of 13 units from its projects Hari Kunj Mayflower, Hari Krishna Phase IV, Hari Vishwa, and Hari Sanskruti Phase II. Since April 2024, the company has handed over possession of 135+ residential and commercial units in Nashik, Maharashtra.

About the Company

KBC Global Ltd is a real estate company established in 2007 with a focus on construction, development and civil contracting. As a part of the Karda Group, KBC Global specializes in residential and commercial real estate projects, ranging from 1BHK apartments to luxury penthouses. The company operates under a business model that involves acquiring properties, forming joint ventures, marketing and selling projects and executing civil contracting projects. KBC Global has several ongoing projects, including Hari Vasant Twin Towers, Hari Kunj Mayflower, Karda Highstreet, Hari Aangan and Hari Sanskruti. Additionally, KBC Global's subsidiary, KBC International Limited, has expressed interest in partnering with the Federal Housing Authority in Nigeria to develop low-cost housing projects in Africa.

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

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