Penny Stock Below Rs 5 Srestha Finvest In Focus After Announcing Business Expansion Plan

Srestha Finvest informed the exchange that the Company has entered into a Facility Agreement with M/s. Felix Industries Limited. By extending the existing business arrangement between Srestha Finvest and Felix Industries they again joined hands through the signing of a Facility Agreement aimed at advancing renewable energy and sustainability initiatives where Srestha would extend further towards lending in renewable energy and clean water-related projects aimed at sustainable development.

The company said in exchange fling that, "Through this fresh agreement, Felix shall secure funding for capital work of plant installation for the order procured by Felix with Aarti Industries Ltd for renewable energy, clean water and water recycle related project for the tune of about Rs 50 million in total to be funded in two phases. With a aim to further provide robust financial support to a diverse in to Renewable Energy and water segment, fostering sustainability and marking a significant move towards Green Environment and sustainable projects this arrangement would strengthen the financial support to Felix".

Recently, Srestha Finvest Rights issue date has been fixed, the rights issue is to open on July 4 and will close on July 18, 2024. The Srestha Finvest Rights issue record date is June 24, 2024. The company is to offer 240,000,000 equity shares at a price of Rs 2 per share. The Srestha Finvest Rights issue size will be Rs 48 Crores. The entitlement ratio is 12:29, 12 rights shares for every 29 fully-paid equity shares held on the record date.

Earlier, the company announced Q4 FY & FY 24 results. Net profit of Srestha Finvest reported to Rs 5.06 crore in the quarter ended March 2024 as against net loss of Rs 4.61 crore during the previous quarter ended March 2023. Sales rose 705.71% to Rs 5.64 crore in the quarter ended March 2024 as against Rs 0.70 crore during the previous quarter ended March 2023. For the full year, net profit was reported to be Rs 1.74 crore in the year ended March 2024 as against a net loss of Rs 4.97 crore during the previous year ended March 2023. Sales rose 363.64% to Rs 12.75 crore in the year ended March 2024 as against Rs 2.75 crore during the previous year ended March 2023.

Srestha Finvest Limited, headquartered in Chennai, Tamil Nadu, specializes in lending money against securities, movable and immovable properties, finance, hire purchase, and leasing. Its shares are listed on the Bombay Stock Exchange Limited and Metropolitan Stock Exchange Ltd. Registered as a Category 'B' NBFC by the Reserve Bank of India, Srestha Finvest refrains from accepting public deposits and does not maintain any subsidiary companies.