Vikas EcoTech Ltd Shares Trade In Green On Debt Repayment Of Rs. 123 Million; Check Details Here

The share price of small-cap stock Vikas EcoTech Ltd edged higher on Tuesday after the company informed that it has repaid an additional loan of Rs. 123 million to the bankers, reducing the bank debt by 74% from the peak level.
Whilst sprinting towards the targeted debt reduction numbers, initiated the process during August-Sept'2021 and since then the Company has re-paid a total Rs 1187 Million to the bankers; thus reducing the total bank debt from the peak of Rs. 1612 Million approx. to about Rs 425 Million currently, making a 74% (approx.) reduction from the peak level, said the company in an exchange filing.

Today, the share price of Vikas EcoTech Ltd was spotted trading 0.89% higher at Rs 3.39 per share at 2:40 pm IST.
The company's revenues declined by 55% YoY from Rs 134 crore in Q2FY23 to Rs 60 crore in Q2FY24, while net profit improved by 50% from Rs 3.54 crore to Rs 1.77 crore.

Meanwhile, in a separate announcement, the company today informed that the Board of Directors of the Company in their meeting held Tuesday inter-alia, considered and approved the allotment of conversion of 3,50,00,000 warrants into 3,50,00,000 Equity shares of face value of Re. 1/- each, to 'Mr. Vikas Garg, Promoter and Managing Director, on a preferential basis, upon receipt of a balance amount aggregating to Rs. 8,92,50,000 at the rate of Rs. 2.55 per warrant from the allottee pursuant to the exercise of his right of conversion into equity shares in accordance with the provisions of SEBI (ICDR) Regulations.

About Vikas Ecotech Limited:

Vikas Ecotech Ltd. is a New Delhi-based company engaged in the business of Specialty Polymers & Specialty Additives and Chemicals for Plastics and rubbers industries, catering to a wide horizon of applications in Agriculture, Infrastructure, packaging, electrical, footwear, pharmaceuticals, automotive, medical devices and components and other consumer goods. Vikas Ecotech is the only manufacturer of Organotin (Heat Stabilizers for Vinyl applications) in India with in-house R&D facilities and is one of the single-digit number of manufacturers of this product worldwide, who have technology and expertise for manufacturing this material right from Tin Metal to the final product.

The Company recently acquired 100% equity in a Plasticizer Manufacturing Business valued at enterprise value of ~Rs 270 Million in an all-cash deal which will be completed and all set to contribute an additional revenue of about INR 2000+ Million Per Annum for the first year, which will be expanded further via enhancing the production capacity at the newly acquired plant.