Multibagger stock: Realty major declares fresh fundraising plan worth Rs 486 cr
The move, aimed at bolstering financial resources for growth, comes as HMPL's shares have delivered remarkable returns, surging over 1,600% in two years.
The real estate sector is buzzing. The sector attracted more than USD 5.5 billion in institutional investments in 2023. As the sector continues to witness a surge in investments, smallcap stock Hazoor Multi Projects Ltd. (HMPL) has declared a fresh fundraising plan. The infrastructure giant has disclosed about the same through an exchange fling. The BSE-listed stock has given multibagger returns in a very short period.
As per a statement on BSE, the board of HMPL has approved a proposal to raise Rs 486 crore through the issuance of warrants.
"Issuing and allotting up to 1.62 crore fully convertible warrants to the persons belonging to the 'non-promoter' and 'public' category on a preferential basis at an issue price of Rs 300 per warrant," as per a regulatory filing.
"Upon issue of Warrants in accordance herewith, an amount equivalent to 25 per cent of the total issue size shall be called upfront from the proposed allottees," it noted. The funds will be utilised to enhance financial resources to fund its growth.
HMPL, which is into building road projects on an engineering, procurement, and construction (EPC) basis, has delivered multibagger returns. As per BSE data, its shares offered a return huge return of more than 200 per cent in just six months. Continuing the upward trajectory, its shares have zoomed 315 per cent in the last year. In two years, the stock has surged more than 1,600 per cent which is an indication of sustained confidence among shareholders or investors despite rising geopolitical tensions that have caused uncertainty in the global macroeconomic environment.
The real estate sector creates lakhs of jobs every year. According to an Anarock report, the real estate sector created over 30 million direct and indirect jobs in 2023. The sector is estimated to touch USD 1 trillion by 2030.