The shares of this largest multi-mineral solutions provider touched a 5 percent upper circuit after the company acquired 50.35 lakh equity shares at an aggregate value of Rs 12 crore.
Ashapura Minechem Ltd is a small-cap company with a market capitalization of Rs 2,739.09 crores. At 1:40 p.m., On Tuesday, the company shares touched a 5 percent upper circuit at Rs 314.30 a share.
According to the company filing, Ashapura Menachem subsidiary Ashapura International Ltd acquired 50.35 Lakh equity shares of Rs 10 each at an aggregate value of Rs 12 Crore of Aeon Procare Pvt Ltd. which is a Wholly owned subsidiary of Ashok-Alco chem Ltd (“AACL”) which is also a Group Company.
The purpose of this acquisition of Aeon Procare Pvt Ltd would lead to a synergy of expertise, benefitting both the organizations and creating significant value for the shareholders, clients, and employees.
Aeon Procare Pvt Ltd. revenue has increased by 22.15 percent on a year-on-year basis from Rs 3.43 crore FY 2021-22 to Rs 4.19 crore FY 2022-23.
Ashapura Minechem Ltd’s revenue decreased by 45 percent On Q&Q from Rs. 1,050.15 crores in Q1FY24 to Rs.575.78 crores in Q2 FY 24.Further, During the same period, net profit decreased by 71.34 percent from Rs 96.48 crores to Rs 27.65 crores.
Ashapura Minechem Ltd’s revenue increased 155.2 percent On YnY from Rs. 225.55 crores in Q1FY23 to Rs.575.78 crores in Q1FY24. Further, During the same period, net profit increased by 2,243.22 percent from Rs 1.18 crores to Rs 27.65 crores.
Ashapura Minechem Ltd reported an increase in the return ratios with the return on equity (ROE) increasing from 18.18 percent in FY 2021-22 to 18.86 percent in FY 2022-23, and in the same time frame, return on capital employed (ROCE) increased from 13.8 percent to 16.08 percent.
The stock has delivered a multibagger return of 260.44 percent in a year. As a result, if an investor bought Rs 1 lakh shares in the company, their shares are now worth 3.60 lakhs in a year.
Ashapura Minechem Ltd’s recent shareholding pattern, The Promoters of the Company own 45.33 percent, Retail shareholders own a 36.45 percent stake in the company and Foreign Institutional Investors own an 18.03 percent stake.
Ashapura Minachem Ltd offers multi-mineral solutions across several industries from soaps to steel, energy to edible oils, metal to medicine, and cement to ceramics.
Written By:- Abhishek Singh
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