Multibagger Penny Stock Below Rs 5 Okays 24 Cr Rights Equity Shares Amounting To Rs 48 Cr

One of Dalal Street's multibagger penny stocks, Srestha Finvest, announced on Tuesday that the Board of Directors approved the allotment of 24,00,00,000 rights equity shares at a price of Rs 2/-per rights equity share amounting to Rs 48 Cr during its meeting on Tuesday, July 23, 2024.

"This is to inform that in terms of the Letter of Offer dated June 18, 2024 and in accordance with the Basis of Allotment finalized in consultation with BSE Limited (Designated Stock Exchange), and the Registrar to the Issue, the Board of Directors, at its meeting held today, i.e., Tuesday July 23, 2024, approved the allotment of 24,00,00,000 Rights Equity Shares of face value of Rs 2/- each at a price of Rs 2/- per Rights Equity Share," said Srestha Finvest in a regulatory filing.

On July 13, Srestha Finvest announced that it had entered into a facility agreement with M/s. Felix Industries Limited to advance sustainability and renewable energy initiatives. As part of this agreement, Srestha would provide additional financing for clean water and renewable energy-related projects that aim to promote sustainable development.
Through this new arrangement, Felix will obtain funding for the capital work of plant installation for the order that it received from Aarti Industries Ltd for projects linked to clean water, renewable energy, and water recycling. The total funding for these projects would be around Rs 50 million, to be funded in two phases. Srestha Finvest Limited entered into this facility agreement with the intention of funding money for projects relating to clean water and renewable energy, expanding its presence in emerging technology sectors.

In the financial services industry, Srestha Finvest is a small-cap company with a market capitalisation of Rs 186 Cr. With its registered office in Chennai, Tamil Nadu, Srestha Finvest Limited is a public limited company that is registered with the Registrar of Companies in Tamilnadu. Lending money against securities, finance, hire purchase, immovable and movable properties, and leasing are the company's primary operations. The shares of the company are listed on the Metropolitan Stock Exchange Ltd. and the Bombay Stock Exchange Limited. The company is a Category 'B' NBFC Company, signifying it is a Non-Banking Financial Company registered with the Reserve Bank of India.

On Friday, the shares of Srestha Finvest closed on the BSE at Rs 2.27 apiece or 4.62% lower than the previous close.