Penny Stock Under Re 1 Jumps 7.8 Per Cent After Acquiring 25,576 Equity Shares of Kunj Forgings Pvt Ltd
From Re 0.49 per share (52-week low) to Re 0.55 per share, the stock gave 12.24 per cent returns.
Today, shares of Srestha Finvest Ltd jumped 7.8 per cent to Re 0.55 per share from its previous closing of Re 0.51. The stock’s 52-week high is Rs 1.28 while its 52-week low is Re 0.48.
Srestha Finvest Ltd is informed that its Board of Directors, during their meeting held on Monday, April 07, 2025. The Board considered and took note of the acquisition of 25,576 Equity Shares of Kunj Forgings Private Limited. Key details regarding this acquisition include that Kunj Forgings Private Limited had a turnover of Rs. 31.08 Crores for the financial year 2023-24. This acquisition does not fall within related party transactions, and the promoter/promoter group/group companies have no interest in the entity being acquired. Kunj Forgings Private Limited belongs to the Forging Industry, and the object of this investment is strategic. No governmental or regulatory approvals are applicable for this acquisition, and the indicative time period for completion is also Not Applicable.
The consideration for this acquisition is in cash, with a cost of Rs 4,00,00,000. This investment results in the acquisition of 25,576 Equity Shares, representing 7.978 per cent of shareholding/control in Kunj Forgings Pvt Ltd. Established on July 22, 1981, Kunj Forgings Pvt Ltd is a technology leader in the forging industry, providing high-quality products and services, primarily catering to the Oil, Natural Gas, and Defence sectors. Their turnover history for the last 3 financial years is as follows: F.Y. 2023-2024: Rs 31.08 crore, F.Y. 2022-2023: Rs 56.41 crore and F.Y. 2021-2022: Rs 15.77 crore. The acquired entity has a presence in India.
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About the Company
Established in 1985, Srestha Finvest Ltd. is a multifaceted financial services company offering various solutions, including loans, financing, and investments. They hold a specific regulatory license: a Category B Non-Systematically Important Non-Deposit Taking NBFC - Investment and Credit Company. This allows them to provide loans secured by various assets (securities, movable and immovable properties), offer hire purchase and leasing options, and engage in trading and investing shares. The company has a market cap of over Rs 89 crore.
The total income increased by 269 per cent to Rs 1,013.01 lakh in FY24 compared to the total income of Rs 274.56 lakh in FY23. The company reported a net profit of Rs 173.86 lakh in FY24 compared to a net loss of Rs 497.41 lakh in FY23, an increase of 135 per cent. The company reported a net profit in FY24 after reporting a net loss for the past 5 years i.e., FY23, FY22, FY21, FY20 and FY19. From Re 0.49 per share (52-week low) to Re 0.55 per share, the stock gave 12.24 per cent returns. Investors should keep an eye on this micro-cap stock.
Disclaimer: The article is for informational purposes only and not investment advice.