Hazoor Multi Projects Share Price In Focus Amid Fundraising Deal

Shares of Hazoor Multi Projects Ltd climbed 1.22% today to Rs 560 from the earlier close of Rs 553.25 per share. A 52-week performance of the stock shows a high of Rs 639 and a low of Rs 115 currently with the company's existing market cap of Rs 1,080 crore.

On Monday, the board of Hazoor Multi Projects approved the conversion of 2,16,350 warrants into an equivalent number of equity shares with a face value of Rs 10 each, at an issue price of Rs 300 per share (including a premium of Rs 290 per share). This conversion, executed on a preferential basis under SEBI (ICDR) Regulations, 2018, was offered to the "Non-Promoters/Public Category" after the receipt of the remaining Rs 4.86 crore, or 75% of the issue price, from the allottees. Following this conversion, the company's issued and paid-up capital has increased to Rs 19.92 crore, now consisting of 1,99,17,702 equity shares.

Recently, the board also granted an in-principle approval for the merger of Square Port Shipyard Private Limited with Hazoor Multi Projects Ltd's holding company. The objective of this merger is to utilize the combined resources, complement each other in core competencies and realize synergies in the two companies. Furthermore, during the Annual General Meeting (AGM), the board in virtue of its power announced a stock split in the 10 to 1 ratio which meant that each Rs 10 worth equity share will be divided into 10 equity shares all worth Rs 1 each. The record date for this stock split is awaited.

Turning new business opportunities, Hazoor Multi Projects has recently participated in competitive bidding and emerged L-1 for a whopping infrastructure project worth Rs 273.74 crore from Maharashtra State Infrastructure Development Corporation (MSIDC). The project scope entails the widening and upgradation of Paldhi Amalner Dondaicha Nandurbar Dhanora To Gujarat State Border Road (SH-6) for the length of 48 kilometer in Nandurbar District. The work will be done on an engineering, procurement and construction (EPC) basis over the period of 912 days, around 2.5 years for completion.

The company has attracted a growing interest from foreign institutional investors (FIIs) over the last few years now. There was considerable increase in the FIIs shareholding in the company from July 2023 to September 2024. Starting with a 1.36% stake in June 2023, the stake of FIIs now stands at 20.13% as of September 2024. This is a surmounting rise in the institutional investment with FIIs having appreciated the stock among the traders when it was priced around Rs 120.

Hazoor Multi Projects was established in the year 1992 and primarily undertook the construction of residential complexes, and later diversified in infrastructure projects. Today, the Company acts mainly as a subcontractor in the construction of national highway projects on behalf of public entities such as Maharashtra State Road Development Corporation and National Highways Authority of India. Also within the Agency, Hazoor Multi Projects extended to the business of EPC contracting, which allowed it to expand its diversification of business and consolidate its position in the sphere of infrastructure construction in India.