The shares of the non-ferrous metal products manufacturer gained up to 3 percent after the company’s board approved the investment in its subsidiary worth Rs 4.15 crore.
With a market capitalization of Rs 421.70 crore, the shares of Shera Energy Ltd were trading at Rs 185 per share, decreasing around 0.56 percent as compared to the previous closing price of Rs 186 apiece.
According to the company filing, Shera Energy Ltd’s board of directors has approved further investment in its subsidiary company M/s Rajputana Industries Limited worth Rs 4.15 crore. Before, this investment the company held a 69.47 percent stake in the company after the acquisition of an additional stake the company has 73.91 percent ownership in the company.
Moreover, Rajputana Industries Limited manufactures non-ferrous metal products, including copper, aluminum, brass, and alloys, from recycled scrap metal. The company takes scrap metal from open markets and converts it into billets such as aluminum, copper, and brass.
Looking at the company’s financials, Shera Energy Ltd’s sales increased by 36% from Rs 150.68 crore in Q3FY23 to Rs 206.12 crore in Q3FY24. During the same period, net profit increased by 131% from Rs 2.25 crore to Rs 5.20 crore.
Shera Energy Ltd. reported return ratios in the recent financial year with a return on equity (ROE) of 5.77 percent and a return on capital employed (ROCE) of 22.74 percent.
In the company’s recent shareholding pattern, promoters own 63.58 percent while Retail shareholders own a 36.42 percent stake in the company.
Shera Energy Ltd is an India-based company, which is engaged in the manufacturing of non-ferrous metal products, including winding wires. The Company manufactures copper and brass wire rods, wires, and tubes, all customized for its buyers in various shapes and sizes, and with options of bare, paper-covered, and enameled wires.
Written by:- Abhishek Singh
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