Share of this microcap company locked 5 percent upper circuit in Friday’s trading session after securing a License Agreement with a Greman company. The shares have delivered a multibagger return of 201 percent to its shareholders in just six months.
With a market capitalization of Rs. 918 crores, the shares of Meson Valves India Ltd started Friday’s trading session on a higher note at Rs. 899.95 compared to its previous close of Rs. 861. During the trading session, the shares clocked a 5 percent upper circuit at Rs. 904.05 apiece, also recorded as the company’s fresh 52-week high.
Such a bullish movement in the share price was observed after the company in an exchange filing announced that they had signed a significant agreement with Georg Schunemann GmHH (the Licensor) of Bremen, Germany.
With this, Meson Valves and its subsidiaries are exclusively authorized to utilize essential expertise concerning filters, manufactured products, and inserts with the additional benefit of seeking assistance from Georg Schunemann GmHH to ensure optimal technology utilization.
Furthermore, it highlighted that this exclusive agreement provides the company with a distinct competitive edge within its market niche. Moreover, it enables the company to extend its services to a broader spectrum of industries including Aerospace, Water Treatment, HVAC, Oil and Gas, and Automotive, among others.
Additionally, the company added that through acquiring valuable expertise spanning manufacturing techniques, assembly processes, marketing strategies, and sales tactics, it is positioned to enhance its product offerings and bolster its market presence.
Looking at the company’s financial statements, the revenue zoomed by 160 percent from Rs. 14.10 crores during FY21-22 to Rs. 36.65 crores in FY22-23. In addition, the net profits magnified by 112 percent from Rs. 2.13 crores to Rs. 4.52 crores during the same period.
Earlier, the company had received two export orders from KW Engineering Solutions Pte Ltd, Singapore for an aggregate amount of USD 8,46,810 (approx Rs. 7.03 crores) to supply different models of Bufferfly and Ball Valves.
As per the latest shareholding pattern, Promoters hold 32.83 percent of the shares, while Foreign Institutional Investors (FIIs) possess 2.15 percent. Domestic Institutional Investors (DIIs) maintain a 1.94 percent stake, with the remaining 63.09 percent owned by Retail Investors.
Incorporated in 2016, Meson Valves India Limited (MESON) emerges as a prominent global player in the manufacturing of valve products across various industries. Their expertise spans the Defence, Marine, Industrial, Oil & Gas, and Power sectors.
Written By Vaibhav Patil
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