IT Stock Hit 5% Upper Circuit After Subsidiary Signs Agreement With USA-Based Company

Adroit Infotech, a small-cap IT company, began on the BSE today at Rs. 21.25 a share and climbed during the morning deals to reach the 5% upper circuit limit of Rs. 21.49. The spike in value of the shares took place after Verso Altima Private Limited, a wholly-owned subsidiary of Adroit Infotech Limited, signed an agreement in October 2023 with a major American supplier of charging solutions with around 60 clients.

"The USA-based Company has also got customers within the USA and across the globe. The USA based Company will make use of the expertise of Verso Altima to integrate its Charging solution with SAP-BRIM software for its customers, in which, Verso has the expertise to integrate and implement the SAP-BRIM and to provide end to end Sales Process functionality. The target market is existing customers of the USA-based Company," said Adroit Infotech in a stock exchange filing.

The IT service management company Adroit Infotech received listing clearance from the BSE and NSE earlier in June of this year in order to issue and allot 10 lakh equity shares through the conversion of loans into equity shares. BSE Limited and the National Stock Exchange of India Limited have granted Adroit Infotech Limited listing approval for the issuance and allotment of 10,00,000 equity shares through the conversion of loans into equity shares and the exchange of 10,00,000 equity shares by the company for the equity shares of Verso Altima India Private Limited.
Adroit is a SAP consulting specialist company with over twenty years of expertise. The stock has gone up by 6% during the past five years, and within the past three years, it has produced a 227% multibagger return. The stock climbed by 13% in the last year, but so far in 2023, it has dropped by 17.67% on a YTD basis.

The stock made a 52-week-high of Rs 33.46 (18/09/2023) and a 52-week-low of Rs 16.51 (04/07/2023). During Q2FY24, the company recorded promoters' shareholding of 45.07% and public stake of 54.93%.