Penny Stock Below Rs 10 To Issue Foreign Currency Convertible Bonds After Declaring Bonus Shares In 2024

Remedium Lifecare Ltd. was founded in 1988 and is involved in the trade of pharmaceutical products, including Advanced Pharmaceutical Intermediates (APIs). One of the largest portfolios of intermediates and active pharmaceutical ingredients (APIs) is provided by Remedium. It offers reasonable prices for APIs to reputable businesses that are accepted as suppliers by major Indian corporations and international corporations.
On Tuesday, the shares of Remedium Lifecare ended at a 5% upper circuit limit at Rs 9.91 apiece after the company declared it would consider issuing Foreign Currency Convertible Bonds (FCCBs).

"We would like to inform you that the meeting of the Board of Directors of the Company is scheduled to be held on Tuesday, 03rd September, 2024 at the Registered Office of the Company at 01:00 P.M. interalia, 1. To Acquire a company, Airowater Global Trading LLC, UAE which is into Water Injectables for Pharma Production. 2. To Consider issuing of Foreign Currency Convertible Bonds (FCCBs) 3. Any other business with the permission of the Chair," said Remedium Lifecare in a stock exchange filing Tuesday.

Remedium Lifecare's net profit dropped by 68.76% to Rs 1.64 crore in the quarter that ended in June 2024 compared to Rs 5.25 crore in the quarter that ended in June 2023. Sales fell 76.49% to Rs 77.70 crore in Q1FY25 compared to Rs 330.46 crore in Q1FY24.
Remedium Lifecare and Angel Partners, Ltd., UK signed a strategic agreement the previous month effective on July 29, 2024, with the goal of acquiring technology to produce lithium carbonate in India. It entered into an annual supply agreement for technical-grade lithium carbonate with Alfa Chemicals and Solvents Ltd., Turkey, which will start in the quarter ending in January 2025. The supplies for CY 2025 are valued at USD 20-25 million, as per a regulatory filing.

The company announced bonus shares at a 3:1 ratio earlier in 2024, with a record date of July 6, 2024. After the firm board announced raising capital to Rs 200 crore through the QIP, the share price of Remedium Lifecare has been rising since July. In addition to the acquisition of technology and intellectual property (IP), such as the US Drug Master File (USDMF), the Certificate of Suitability to the Monographs of the European Pharmacopoeia (CEP), tech packages, and other relevant assets, the goal of this fundraising is to finance the acquisition of Good Manufacturing Practices (GMP) assets in the Active Pharmaceutical Ingredients (API) and Intermediates field.