NBFC update:
Ugro Capital Limited’s shares experienced a rise of 1.04 percent, accompanied by a notable increase in trading volume, surpassing 6.87 times the usual. The company’s current market capitalization stands at Rs 2,593.20 crore.
Regarding share performance:
- On Friday, the stock commenced trading at Rs 299.65, with the previous closing price at Rs 283.55. Its 52-week high and low are recorded at Rs 319.85 and Rs 186.10, respectively, according to BSE data.
Recent developments:
Ugro Capital Limited has unveiled plans for a substantial equity fund raise amounting to Rs 1,332 crore through a preferential issue. This capital infusion will be facilitated through the issuance of two equity instruments: Compulsorily Convertible Debentures (CCDs) and Warrants.
Approximately Rs 275 crore is earmarked for CCDs, while around Rs 1,057 crore is allocated for warrants. Both CCDs and warrants are designed to convert into equity shares within 18 months.
This strategic initiative is aimed at reinforcing the company’s financial standing and supporting its growth strategies by injecting fresh capital into its operations. The issuance of CCDs and warrants offers flexibility in fundraising while aligning with the company’s long-term objectives.
Additionally, focusing on the NBFC Q4FY24 financial highlights:
- Assets Under Management (AUM) surged to Rs 9,047 crore, marking a substantial 49 percent increase from Rs 6,801 crore reported in Q4FY23.
- Profit After Tax (PAT) witnessed remarkable growth, soaring to Rs 33 crore in Q4FY24 from Rs 14 crore in Q4FY23, reflecting an exceptional 133 percent increase.
The significant uptick in both AUM and PAT underscores the company’s robust performance and financial resilience during the specified period.
About the NBFC:
Ugro Capital Limited distinguishes itself as a technology-driven lending platform, with a strong focus on leveraging data and technology to serve the financing needs of small businesses. Specializing in customized loan solutions, the company targets the capital requirements of small businesses across eight specific sectors. Through its data-centric and technology-enabled approach, U GRO Capital aims to cater to the unique financial needs of small businesses, facilitating their growth and sustainability in the market.
Furthermore, the stock has witnessed substantial buying interest, generating returns exceeding 49 percent over the past year.
