Stock of this SME company has zoomed over 100% in 5 days; hits new high

Advait Infratech said the company is not aware of the reason for the significant and sudden movement in the share price

Shares of Advait Infratech were locked at the 10-per cent upper circuit at Rs 411.10 on BSE on Monday, touching a new high since its market debut in September 2020. In the past five trading days, the stock has zoomed 109 per cent from a level of Rs 197. In comparison, the S&P BSE Sensex was down nearly 1 per cent during the period.

Advait Infratech said it is not aware of the reason for the sudden spurt in the stock price of the company and that the movement in the share price is purely market-driven.

"We are not aware of the reason for the significant movement in the price of our shares. The movement in the share price is purely market-driven and may be a combination of various factors including market conditions. The management of the company is in no way concerned with the movement in the price of the shares," Advait Infratech clarified last Friday. READ HERE

Advait Infratech trades in the SME segment under the "M" group on the BSE. The trading, clearing and settlement in the SME segment is done on a T+2 basis. Trades done in BSE SME scrips are required to be compulsorily settled in demat mode.

Advait Infratech is engaged in business of providing products and solutions for Power Transmission Power Substation and Telecommunication Infrastructure fields. It operates with various verticals such as Turnkey Telecommunication Projects Installation of the Power Transmission Substation and Telecom Products Liasioning-marketing and providing end-to-end solutions to the overseas customers. It also manufactures and supply capital stringing tools for construction of transmission line.

During the financial year 2021-22 (FY22), Advait Infratech set up a new factory to manufacture ACS wire, stringing tools, joint box, ERS and assembly utility, and will therefore manufacture tools, joint boxes locally to serve the domestic market.

"The company is also planning to set up Green Hydrogen and Renewable energy facilities, and undertake EPC Projects in these areas as well. Generally, the Board is fairly enthusiastic about the future and working on targets for upcoming years," it said in its FY22 annual report.

Under the 'Make in India' Mission, the company has built up a manufacturing factory for stringing tools and joint box in Borisana Kadi, Mehsana district to meet the needs of the local market and minimize production costs. The company has executed exclusive agreement with council of Scientific and Indsutrial Research (CSIR), New Delhi for transfer of CSIR-SERC technology on Emergency Retrieval System, it added.

Advait Infratech has low outstanding equity shares of 5.1 million as on March 31, 2022. The promoters held 73.52 per cent stake in the company. The remaining 26.48 per cent holding are with the individual shareholders (17.62 per cent), bodies corporate (7.69 per cent), Pinans Trading Private Limited (4.12 per cent) and Sambadaji Trading Private Limited (3.22 per cent).