This Metal Company Awaiting Approval for Rs 400 Crore Merger with Nami Capital Private Ltd; The Stock Price has given 403 per cent Returns in last 5 Years - Know more details here!
With a market capitalisation of Rs 67,393 crore and a PE ratio of 14.4x, the company trades at a discount compared to the industry PE of 26x.
Pradeep Metals Ltd (PML) has approved a scheme of amalgamation with Nami Capital Private Limited (NCPL), subject to regulatory and shareholder approvals. The merger aims to simplify the group structure, optimize capital allocation, and enhance shareholder value.
Under the approved scheme, NCPL, which holds 59.03 per cent of PML’s paid-up share capital, will be merged into PML. In exchange, shareholders of NCPL will receive equity shares of PML based on an independent share exchange ratio. Post-merger, the shareholding of promoters will be restructured, with Pradeep V. Goyal and Neeru P. Goyal emerging as the primary shareholders.
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PML, engaged in the manufacturing of forgings, castings, and defense-related products, expects operational synergies and regulatory simplifications from the merger. The scheme now awaits approvals from BSE, SEBI, NCLT, and other regulatory authorities.
Pradeep Metals Ltd closed at Rs 232, marking a 1.84 per cent increase from the previous close of Rs 227.8. The stock touched a high of Rs 232.5 during the session on a trading volume of 224 shares. Over the past year, the stock has delivered a return of -9.13 per cent, while its five-year performance stands at multibagger 403.25 per cent returns. The stock is currently trading below its 52-week high of Rs 322, with a market capitalization of Rs 400.66 crore.
About Company
Pradeep Metals Ltd. operates as a holding company which manufactures precision closed die steel forgings and processing. It operates through the Closed Die Forging and Processing and Power Generation segments. The company was founded by Pradeep Ved Prakash Goyal on January 22, 1982 and is headquartered in Mumbai, India.
With a market capitalisation of Rs 67,393 crore and a PE ratio of 14.4x, the company trades at a discount compared to the industry PE of 26x. The company has ROCE of 20 per cent and ROE of 21.3 per cent.
Investors should keep an eye on this micro-cap stock.