Stock under Rs 50: This SME Steel Company Bags Five Major orders for the Supply of Demac GP Pipes and Tubes
The shares of the company made a muted D-Street debut, listing at Rs 90 in December.
Newmalayalam Steel Limited, formerly known as Newmalayalam Steel Private Limited, has announced that it has secured five major orders for the supply of Demac GP Pipes and Tubes. These orders total 500 metric tonnes (MTS) and have a consolidated value of Rs. 3.55 crores, inclusive of GST.
The purchase orders have been awarded by five domestic entities, namely Vinny Steels (Thrissur, Kerala), JVS Steels (Pavaratty, Kerala), Mambakkadans Steels & Cements (Pattimattom, Kerala), Indian Steel Center (Pavaratty, Kerala), and Mariya’s Pipe & Steels (Chingavanam, Kerala). The contracts include one purchase order dated January 15, 2025, and four others dated January 16, 2025.
The orders, based on a sale agreement, specify that the delivery of the total quantity of 500 MTS of Demac GP Pipes and Tubes must be completed within 30 working days.
NewMalayalam Steel Ltd. is engaged in the business of manufacturing galvanized pipes, tubes, and sheets. Its products include GP Pipes, GI Pipes, Coil, Sheet, Slit and others which includes Scraps & Rejected pipes. The firm offers DEMAC Circular Tubes, DEMAC Rectangular Tubes and DEMAC Square Tubes. The company was founded on March 31, 2017 and is headquartered in Thrissur, India.
DSIJ offers a service 'SEP', which is a unique portfolio of stocks that is best suited to your profile. It aims to help subscribers make informed investment decisions. If this interests you, then do download the service details pdf here
Earlier, the company received fresh orders worth Rs 18 crore from domestic clients. The orders consist of two major contracts. The first, dated January 11, 2025, includes 1,025 metric tonnes of Demac GP Pipes and Tubes valued at Rs 7.31 crore. The second, dated January 7, 2025, involves 1,500 metric tonnes of the same products, with an order value of Rs 10.59 crore. Together, these contracts signify a robust demand for NewMalayalam Steel’s premium steel offerings in the domestic market.
In the past 20 days, the company has secured written orders worth Rs 31.75 crore, reflecting its strategic efforts to expand its market presence and diversify its client portfolio. These milestones showcase NewMalayalam Steel’s dedication to delivering superior products while meeting the evolving requirements of its customers.
Investors can keep this SME micro-cap stock on their radar.
Disclaimer: The article is for informational purposes only and not investment advice.