This small-cap stock soared 33,000% in 5 years, outpacing trends
What's the story
Hazoor Multi Projects Limited, a small-cap stock, has witnessed an extraordinary rally of 33,000% over the past five years. The company's shares continued their upward trend during Friday's intraday trades, even as the Indian stock market remained flat. The company recently announced its acquisition of a majority stake in Vyom Hydrocarbon Private Limited to further its growth and diversification plans.
Strategic acquisition
Plans to acquire 51% stake in Vyom Hydrocarbon
On July 3, Hazoor Multi Projects announced its acquisition of a 51% stake in Vyom Hydrocarbon Private Limited. The latter was established to provide services and onshore drilling in the oil and gas sector. The strategic move is expected to create synergies that will support Hazoor's growth and diversification plans, aligning with its long-term objectives and operational strengths.
Business diversification
Areas of focus for Hazoor Multi Projects
As part of its expansion strategy, Hazoor Multi Projects aims to venture into the mining and quarrying sector, the oil and gas industry, and the extraction of crude petroleum and natural gas. The company also plans to provide oilfield equipment and services, drilling and consulting services. It will also be involved in trade, engineering, procurement, construction service, environmental engineering, and sustainability initiatives, including waste management.
Company profile
Details of the acquisition
Vyom Hydrocarbon was incorporated on August 11, 2023, with an authorized capital of ₹15 lakh and a subscribed capital of ₹2 lakh. The company has no turnover as yet. Hazoor Multi Projects will acquire the company through a Share Purchase Agreement (SPA) for a total cash consideration of ₹1.02 lakh.
Market response
Hazoor Multi Projects shares have skyrocketed since 2022
On Friday, Hazoor Multi Projects shares opened on a positive note and hit intraday highs of ₹40.47, gaining over 3% during the session. The stock has given multibagger returns to investors since trading at ₹3-4 levels in July-August 2022. The company's strategic moves have contributed to its remarkable growth in the Indian stock market over the past five years.