The shares of blended spices manufacturers gained up to 8.7 percent after the company’s board of directors approved a share purchase agreement worth USD 6,91,616.60
With a market capitalization of Rs 51.27 Crores. Nhc Food Ltd, On Thursday, The shares were trading at Rs 44.50 a share, an increase of 3.39 percent from the previous closing price.
According to the exchange filing, Nhc Food Ltd has executed the Share Purchase Agreement of December 6, 2023, and under this, the Company remitted an advance of USD 6,91,616.60 toward acquiring 96.21% equity stake in Intra Metal Trading LLC-FZ (“Intra”) located in Dubai, UAE specializing in Agri and Metals Trading.
Together with the paragraph above, The total investment of USD 6,91,616.60, or 2540 equity shares on a fully diluted basis, was made at a face value of AED 1,000 per share, or USD 272.2g per share. The subscription was made entirely in cash, the purpose of this acquisition is, that the company is planning to expand its Agribusiness operations in Gulf countries.
NHC Food Ltd effectively increased its market share by branching out into new areas. Positive results were obtained from the company’s attempts to enter emerging markets and solidify our position in already-existing ones. The company also worked with local partners to comprehend the particular needs and preferences of each market, which enabled us to customize our product offerings.
India’s volume of spice production stayed strong in the fiscal year 2022–2023. Favorable weather conditions drove an increase in the industry’s overall production. Eleven million metric tons were produced in India during the year.
Looking into the company’s performance, Nhc Food Ltd’s revenue increased by 24.5 percent from Rs 33.18 Crore in Q2FY23 to Rs 41.32 Crore in Q2FY24. During the same period, net profit increased by 7.5 percent from Rs 0.40 crore to Rs 0.43 crore.
NHC Food Ltd. supplies the top global food multinationals and fast food chains in the USA and Europe with a wide variety of ground spices and blends.
Written by:- Abhishek Singh
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