Shares of Aurum Proptech Limited opened their trading hour at Rs 120.80 and are currently trading at Rs 128. The scrip witnessed an intra-day high of Rs 134.30, which is a gain of around 14 percent as compared to the previous closing levels of Rs 117.50. The company has a market capitalization of Rs 500 crores.
Such a sharp movement in the stock prices today is after the company, through a regulatory filing with the BSE, announced the approval of up to 100 percent stake in ‘NestAway Technologies Private Limited’, a leading PropTech Brand in India. The consideration for the same is decided to be Rs 90 crores.
NestAway has gained recognition for its innovative business models and disruptive approach adapted in order to simplify the rental process for millennials as well as professional tenants.
In addition to the above-mentioned consideration, Aurum PropTech will also infuse Rs 30 crores for the purpose of stabilizing the investee’s business.
Aurum Proptech Limited, formerly known as Majesco Limited, is engaged in the business of providing an integrated portfolio of information technology (IT) software and services including application development, testing, data warehousing, IT consulting, etc. Geographically, the company offers its services in the North American, European, and some other regions.
Having a glance at the latest financial numbers reported by the company, there has been a magnification in the operating revenue numbers which shifted from Rs 16 crores during FY21-22 to Rs 127 crores in FY22-23 indicating an increase of around 694 percent.
On the contrary, due to extreme cost pressures, the company reported net losses of Rs 13 crores in FY21-22 which rose to losses of Rs 40 crores during FY22-23. Something on a positive note is the sequential move which portrays an improvement in the after-tax losses with a reduction from Rs 11 crores in Q3FY22-23 and even going down to Rs 10 crores in Q4FY22-23.
Written by Amit Madnani
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