SME Stock Soars 115% From Listing Price In 2 Months; Taps New Market With Key Partnership

A small-cap firm in the capital goods industry is Fabtech Technologies Cleanrooms. With a market valuation of Rs 426.74 Cr, Fabtech Technologies Cleanrooms' shares closed Friday's trading session on the BSE 1.04% down at Rs 346.40 a share. Prior to two months ago, on 10th January, Fabtech Technologies' shares were listed on the BSE SME platform at a substantial premium of 90% because the stock was initially listed at Rs 161.5, compared to an IPO issue price of Rs 85. This indicates that the stock has gone up by about 114.5% from its listing price to its current market price in just two months.

Interestingly, Fabtech Technologies Cleanroom Ltd. declared on Friday that it has raised its stake from 33.33% to 51% in Kelvin Air Conditioning & Ventilation Systems Pvt. Ltd. (Kelvin). The operations and assets of both Fabtech and Kelvin are strengthened with this acquisition of a majority stake, which moves Kelvin from affiliate to subsidiary status. A major step in Fabtech's expansion plan, the move aims to strengthen the company's overall expertise in the HVAC (heating, ventilation, and air conditioning) area, which is crucial for cleanroom conditions.

"We are pleased to announce that we have increased our stake in Kelvin hvac from 33.33% to 51%, strengthening our strategic partnership with Mr. Ravi Shetty and his esteemed team. This move aligns with our vision for accelerated growth and expansion into high-potential markets. With this acquisition, we are now positioned to enhance our offerings, providing turnkey cleanroom solutions, micro-HVAC, precision air-conditioning, and modular below-the-ceiling solutions for pharma, biotech, and food industries. Additionally, we are expanding into data centers, semiconductors, electronics, and other cleanroom-reliant sectors," said Fabtech Technologies Cleanrooms in a stock exchange filing.

"We are proud to have secured significant data center projects with renowned companies and institutions, along with key reference projects in semiconductor and pharmaceutical sectors. This milestone reflects our commitment to delivering value to our shareholders and partners within the promised timeframe," Fabtech Technologies Cleanrooms further informed stock exchanges.

As part of a strategic partnership to add HVAC expertise to its portfolio, Fabtech first acquired a one-third interest in Kelvin in 2024. Fabtech is carrying out plans to expand its capabilities through strategic acquisitions, which were detailed during its recent initial public offering (IPO), by raising its holding to 51%. Known for its significant HVAC applications in sectors such as pharmaceuticals, biotechnology, semiconductors, data centers, electronics, and commercial buildings, Kelvin is a turnkey system integrator with its headquarters located in Mumbai. By establishing Kelvin as a subsidiary, Fabtech will be able to better integrate Kelvin's specialist HVAC competence with its main cleanroom operations.

A BSE-listed supplier of comprehensive cleanroom solutions, Fabtech Technologies Cleanroom Ltd serves the biotechnology, pharmaceutical, healthcare, and associated sectors. As a member of the Fabtech Group, it was founded in 2015. It has manufacturing plants in Umbergaon, Gujarat, and Murbad, Maharashtra.