Small-cap stock below ₹50: Vipul Limited, a small-cap company trading below ₹50 per share and a favourite among Foreign Institutional Investors (FIIs), is preparing to raise funds. Vipul Limited disclosed plans to explore various fundraising options, the company announced on December 3, 2024, in an exchange filing.
Viput Limited share price was trading in the green, up 0.59 per cent, at ₹27.09, on December 3, at 2:00 pm, on BSE.
Vipul Limited enjoys a market capitalisation of ₹381.86 crore, as per BSE.
Breakdown of shareholdings
Foreign institutional investors (FIIs) have shown significant interest in Vipul Limited, with a total holding of 1,01,97,015 shares, representing 7.23 per cent of the company’s equity. Category I Foreign Portfolio Investors (FPIs) hold 47,50,351 shares, led by NAV Capital VCC’s Emerging Star Fund with 26,37,131 shares and full voting rights. Category II FPIs, including Moneyplant Gold & Jewellery Trading L.L.C., hold 54,46,664 shares. This strong FII presence, particularly NAV Capital’s influence with over 55 per cent of the voting rights in its category, highlights growing confidence in Vipul Limited’s growth potential.
The Board of Directors is set to meet on December 10, 2024, to consider and approve the issuance of equity shares or other instruments like convertible preference shares, bonds, or non-convertible debentures. The fundraising could be executed through multiple channels, including qualified institutional placements (QIPs), rights issues, or private placements, subject to necessary approvals.
This move indicates the company’s ambitions for growth and expansion, potentially offering existing shareholders new opportunities. Notably, Vipul Limited has announced a trading window closure from December 4 to December 12, 2024, in compliance with insider trading regulations.
As the stock remains a key focus for institutional investors, retail shareholders might consider whether Vipul’s upcoming fundraising efforts align with their investment strategy. With FIIs holding a significant stake, the company’s future plans could unlock new value.