Pitti Engineering Ltd gained 4.3% to ₹1,205.75 per share after the company board approved the fundraising of ₹360 crores via qualified institution’s placement(QIP).
On Tuesday, at 11:50 a.m. the shares of Pitti Engineering Ltd. were quoted at ₹1,182.75 a share, up 2.38 percent on the National Stock Exchange, The company has a market capitalization of ₹3,790 crore.
What News:
The board of Pitti Engineering Ltd approved a fundraising initiative of ₹360 crores through a qualified institutional placement of equity shares, each with a face value of ₹5, on July 8, 2024. The floor price for this issue is set at ₹1,054.25 per equity share.
About the company:
Pitti Engineering is involved in the manufacturing of electrical steel laminations, motor cores, sub-assemblies, die-cast rotors, press tools, and the machining of metal components.
Their product portfolio includes sheet metal used in over 20 end-user industries, and precision machining for complex parts, and assemblies. Currently, they are developing fabricated assemblies and machining solutions for mining applications, particularly for dumper trucks.
The company operates three manufacturing facilities: two in Hyderabad and one in Aurangabad, with a production capacity of 50,200 MT.
Pitti Engineering serves various companies in the industrial motor manufacturing industry, including Wabtec Corporation, General Electric, Siemens Limited, ABB India Limited, among others. The industries they serve include appliances, electric vehicles, motor mining, construction, lift irrigation, windmills, and hydro generators.
The company generates 67% of its revenue from the domestic market and 33% from exports.
Financials:
The Pitti Engineering Ltd operational revenue has gained by 9.2 percent year on year from ₹1,100 crores in FY22-23 to ₹1,202 crores in FY23-24, while net profit increased by 52 percent from ₹59 crores to ₹90 crores.
Pitti Engineering Ltd shares gained 70 percent in the last six months and 217 percent in the last 12 months.
Written by Omkar Chitnis
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