The shares of this hospitality stock jumped nearly 15 percent to Rs.2,224.85 per share after Ace Investor Porinju Veliyath bought a stake in the company through his investment fund Equity Intelligence India.
Price Variation
In Wednesday’s trading session, Apollo Sindoori Hotels Limited‘s share price reached an intra-day high of Rs.2,224.85 per share, marking a 15 percent increase from the opening price of Rs.2,220 apiece. Since then, the share price has adjusted and currently trading at Rs.2,035 per share.
What is the news
The bullish trend in the stock was driven by Porinju Veliyath, who, through his firm Equity Intelligence India, purchased 27,000 shares at an average price of Rs.1,916.17 per share. The acquisition, valued at Rs.5.17 crore, represents a 1.04 percent stake in the company.
Veliyath’s acquisition is viewed as a bullish signal for Apollo Sindoori Hotels Ltd., likely boosting positive market sentiment around the stock. Investments by prominent investors often attract increased attention from other market participants, potentially leading to further stock price appreciation.
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Shareholding Composition
As of June 2024, Apollo Sindoori Hotels Limited’s shareholding pattern indicates that promoters hold a 64.68 percent stake, Foreign Institutional Investors hold 0.1 percent, and Retail Investors hold 35.23 percent.
Porinju Veliyath, through his firm Equity Intelligence India, initially acquired a 0.58 percent stake in Apollo Sindoori Ltd in 2017 and has recently increased his investment.
Business Segments
Apollo Sindoori Hotels Limited is a leading provider of hospitality management and catering services in India. The company caters to a diverse range of sectors, including healthcare, education, and corporate offices, offering skilled manpower, kitchen planning, event management, and food services tailored to meet the specific needs of each client.
Financial Performance
In its latest financial update, Apollo Sindoori Hotels reported net sales of Rs.127.7 crores for Q1 FY25, reflecting a 5.5 percent increase from Rs.121.04 crores in Q1 FY24. However, the company’s net profits declined to Rs.1.49 crores, down from Rs.3.83 crores during the same period.
Company Overview
Apollo Sindoori Hotels Ltd is involved in managing food outlets at hospitals and esteemed organizations. The company also provides outdoor catering services and supplies skilled manpower to hospitals.
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Written by – Siddesh S Raskar
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