This small-cap oil exploration and production stock rose 12.5 percent to a 52-week high price of Rs 440.90 on Tuesday’s early trade after the company’s board approved the merger of Antelopus Energy Private Limited and Selan Exploration Technology Limited.
At 11:33 a.m., Selan Exploration Technology Ltd shares were trading at Rs 416.70 a share, up Rs 24.75 or 6.39 percent from the previous close price and the company has a market capitalization of Rs 647 crore.
According to the BSE filing, the Company board has approved the merger of Antelopus Energy Private Limited and Selan Exploration Technology Limited, under Section 230 to 232 and other applicable provisions of the Companies Act, 2013, and the rules and regulations made there as a suitable option.
Antelopus Energy Private Limited is a wholly owned subsidiary of Blackbuck Energy Investments Limited, which is a subsidiary of the promoter group company Selan Exploration Technology.
Antelopus Energy Private Limited is an Exploration & Production company, focused on monetizing discovered and stranded resources in the Indian Subcontinent.
The merger of Antelopus Energy Private Limited and the Company may result in the diversification of the Company’s portfolio across multiple sedimentary basins, both onshore and offshore, and the enhancement of value for the Company’s shareholders by simplifying the shareholding structure and strengthening the operational strategy.
Selan Exploration Technology Ltd’s revenue has marginally decreased by 6 percent yearly, from Rs 30 crore in Q1FY23 to Rs 28 crore in Q1FY24. During the same time, the company’s net profit has declined by 44 percent from Rs 9 crore to Rs 5 crore.
The Company’s return on equity increased from 3.01 percent in FY22 to 8.57 percent in FY23, while the return on capital employed rose from 3.43 percent to 9.96 percent during the same period.
Salasar Techno Engineering reported strong margins in the recent financial year with a net profit margin of 26.15 percent and an operating margin of 34.48 percent.
Selan Exploration Technology Limited is engaged in the business of Oil & Gas exploration and production.
Written by Omkar Chitnis
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