Vikas EcoTech shares jump 5% amid acquisition development; details here
Shares of Vikas EcoTech surged 4.5 per cent during the trading session on Tuesday to Rs 4.24 per shares, with a total market valuation more than 550 crore.
- Jan 23, 2024,
- Updated Jan 23, 2024 3:46 PM IST
Shares of Vikas EcoTech Ltd surged about 5 per cent during the trading session on Tuesday, bucking the selling pressure in the broader markets, on the back of acquisition news. The company informed about the same through different exchange filings with the bourses on Monday and Tuesday. Vikas Ecotech announced an agreement to acquire 100 per cent equity stake in Shamli Steel, a company engaged in manufacturing Infrastructural Steel (bars and raw material) at a negotiated enterprise value of Rs 160 crore from its existing shareholders in a share swap deal, said the company in the exchange filing on Tuesday. The company has also provided Shamli Steels a working capital assistance of Rs 15 crore while signing the agreement and will further induce more cash for the working capital requirements in the tune of about Rs 35-50 crore during the first 3-6 months after taking over the operations of the plant, it added. The board of directors of the company considered and approved the following proposals and accorded its consent for submission of expressions of interest (EoI) therefore the purchase of the Infrastructure Leasing & Financial Services (IL&FS) Group’s equity stake in Baleshwar Kharagpur Expressway (BKEL), said the company in a separate exchange filing on Mondy. Shares of Vikas EcoTech surged 4.5 per cent during the trading session on Tuesday to Rs 4.24 per share, with a total market valuation of more than 550 crore. However, the stock finally settled at Rs 4.16, up 2.46 per cent over its previous close at Rs 4.06 on Saturday. Shamli Steel is producing steel bars and billets located at Shamli, Uttar Pradesh, India, which has the capacity to produce about 2.5 lakh MT of TMT bars, corrosion resistant steel bars (CRS Bars), MS rounds and MS billets Per Annum. Shamli Steel generated revenue of Rs 300 crore during FY 2022-23, while posting a healthy growth at CAGR 10 per cent for the last three years. New Delhi-based Vikas Ecotech is engaged in the business of specialty polymers and specialty additives and chemicals for plastics and rubber industries, catering to a wide horizon of applications in agriculture, infrastructure, packaging, electrical, footwear, pharmaceuticals, automotive, medical devices and components and other consumer goods.
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Shares of Vikas EcoTech Ltd surged about 5 per cent during the trading session on Tuesday, bucking the selling pressure in the broader markets, on the back of acquisition news. The company informed about the same through different exchange filings with the bourses on Monday and Tuesday. Vikas Ecotech announced an agreement to acquire 100 per cent equity stake in Shamli Steel, a company engaged in manufacturing Infrastructural Steel (bars and raw material) at a negotiated enterprise value of Rs 160 crore from its existing shareholders in a share swap deal, said the company in the exchange filing on Tuesday. The company has also provided Shamli Steels a working capital assistance of Rs 15 crore while signing the agreement and will further induce more cash for the working capital requirements in the tune of about Rs 35-50 crore during the first 3-6 months after taking over the operations of the plant, it added. The board of directors of the company considered and approved the following proposals and accorded its consent for submission of expressions of interest (EoI) therefore the purchase of the Infrastructure Leasing & Financial Services (IL&FS) Group’s equity stake in Baleshwar Kharagpur Expressway (BKEL), said the company in a separate exchange filing on Mondy. Shares of Vikas EcoTech surged 4.5 per cent during the trading session on Tuesday to Rs 4.24 per share, with a total market valuation of more than 550 crore. However, the stock finally settled at Rs 4.16, up 2.46 per cent over its previous close at Rs 4.06 on Saturday. Shamli Steel is producing steel bars and billets located at Shamli, Uttar Pradesh, India, which has the capacity to produce about 2.5 lakh MT of TMT bars, corrosion resistant steel bars (CRS Bars), MS rounds and MS billets Per Annum. Shamli Steel generated revenue of Rs 300 crore during FY 2022-23, while posting a healthy growth at CAGR 10 per cent for the last three years. New Delhi-based Vikas Ecotech is engaged in the business of specialty polymers and specialty additives and chemicals for plastics and rubber industries, catering to a wide horizon of applications in agriculture, infrastructure, packaging, electrical, footwear, pharmaceuticals, automotive, medical devices and components and other consumer goods.
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