• Paper Stock has given multibagger returns of over 126% in one year period
Shares of JK Paper Ltd hit a record high of ₹452 per scrip on BSE in early trading session on Wednesday in an otherwise weak market. The stock has been an outperformer this year as it has given multibagger returns of over 115% in 2022 (YTD).
JK Paper is one of the top manufacturers of Copier Paper, Coated Paper and Packaging Board in the country. The paper stock has given multibagger returns of over 126% in a span of one year.
The paper and packaging board company last month said it would acquire Horizon Packs Pvt Ltd and Securipax Packaging Pvt Ltd in phases for approximately ₹578 crore. HPPL and SPPL are India's leading corrugated packaging manufacturers with seven plants across the country.
"JK Paper has entered into a Share Purchase and Shareholders Agreement to acquire 85 per cent shares of Horizon Packs Pvt Ltd (HPPL) and Securipax Packaging Pvt Ltd (SPPL), and the remaining 15 per cent within 3 years. Related SPSHA," the company said in an exchange filing.
The company said it will acquire 26.92 crore equity shares in HPPL at ₹19.33 per share and 4.63 lakh equity shares in SPPL at ₹1,256.95 per share, representing 85% stake in each company.
Harsh, Vice Chairman and Managing Director, JK Paper said, “It is a privilege to join hands with India's largest player in the corrugated packaging segment. This coupled with JK Paper's upcoming corrugated facility in Ludhiana will make it one of the largest in the corrugated packaging industry. Will establish himself as a player." Husband Singhania said.
Meanwhile, for the quarter ended September 2022, the company reported an over two-fold increase in consolidated net profit at ₹327 crore, helped by higher sales volumes and increased sales realisation. Its revenue from operations grew 72% to ₹1,722.6 crore as compared to ₹999.5 crore in the corresponding quarter of the previous financial year.
H P Singhania, Vice Chairman and Managing Director, said: "The company was able to deliver improved performance on a quarter-on-quarter and year-on-year basis due to increased volumes driven by the ramp-up of new packaging board capacity. Higher inputs notwithstanding the adverse cost implications."
No comments:
Post a Comment