Penny Stock Below Rs 5 Expands Its Footprint In Insurance Broking Sector; Share Zooms 629% In 1 Year

On Friday, during the volatile trading of the stock market, the shares of Standard Capital Markets Limited were trading at the level of Rs 1.52. Standard Capital Markets has informed the stock market that the company has formed a new wholly-owned subsidiary. Standard Capital Markets has told the stock market that on June 19, Standard Capital Markets formed this wholly-owned subsidiary under the Companies Act. Its name is Standard Insurance Broking Limited. The authorized capital of the company is Rs 1 crore which is divided into 10 lakh equity shares of Rs 10 equity shares. The shares of Standard Capital Markets have given a bumper return of 5300 per cent to the investors in the last 5 years.

Standard Capital Markets Limited is a financial services company with a market cap of Rs 224 crore whose shares have a 52-week high of Rs 3.52 and a 52-week low of Rs 1.5. Standard Capital Markets has told the stock exchange that this company will do insurance brokerage work.

Standard Capital Markets' stock has given investors a bumper return of 5300 per cent in the last 5 years. The company's stock was split into 10 parts a few days ago in December. Standard Capital Markets' stock was at the level of Rs 1.36 5 years ago since then its price has jumped by more than 5300 per cent.

Recently, the Board of Directors of Standard Capital has approved the allotment of 26 crore equity shares with a face value of Re 1 each. These shares are being issued at the rate of Rs 2.75 per share. This allotment is being given on the basis of converting the existing secured loan into equity which amounts to about Rs 71.50 crore. After this, the paid-up equity share capital of the company has become Rs 173 crore. Allotment of 26,00,00,000 Equity Shares of Face Value of Re.1/- each, towards the conversion of outstanding unsecured loan, at an issue price of Rs. 2.75/- per Equity Share (including premium of Rs.1.75/- each), for an aggregate amount of Rs.71,50,00,000/- on a preferential basis.

Earlier, Standard Capital Markets informed the stock market in March this year that the company had decided to buy 10,000 equity shares in KRV Brooms Private Limited at Rs 10 per share.

Established in 1987, Standard Capital Markets Ltd is an NBFC company registered with the RBI. They offer a variety of financial services including advisory (negotiations, project identification etc.), arbitration & mediation, due diligence, commercial contract services (drafting agreements etc.), litigation assistance, and even licensing (company incorporation, import/export licenses etc.). With a strong track record and recent 100 per cent CAGR profit growth over the last 5 years, they've established a wholly-owned subsidiary, Standard Capital Advisors Limited, to expand their reach into merchant banking activities.