LIC Mutual Fund buys a stake in this multibagger realty stock. Details here

Multibagger stock: Shares of realty player Suraj Estate Developers fell nearly 2 per cent in intraday trade on NSE on Thursday, September 19, looking set to snap their three-day winning run even as the company said LIC Mutual Fund – Flexi Cap Fund, had picked its nearly 3 lakh shares on 17 September. As per bulk deal data available on NSE, LIC Mutual Fund—Flexi Cap Fund picked 2,83,616 shares in Suraj Estate Developers on 17 September, at an average price of ₹758.89.

Suraj Estate Developers share price opened at ₹784 against its previous close of ₹782.10 and fell 1.5 per cent to the level of ₹770.

Suraj Estate Developers share price trend

The small-cap stock has been on a roll over the last six months. It hit its 52-week low of ₹255.80 on March 27 and its 52-week high of ₹847 on August 20 this year.

At the current market price of ₹770.05, it has surged over 200 per cent from its 52-week low level in about six months.

On a monthly scale, the stock is down after three months. It has dropped 4 per cent in September so far. In June, July and August this year, the stock surged 30 per cent, 39 per cent and 15 per cent, respectively.

Suraj Estate Developers news

Recently, the company announced that it secured shareholder approval to raise ₹500 crore via preferential issuing shares and warrants.

According to the company, after the issuance of equity shares and convertible share warrants, the promoter and promoter group holding will be diluted from 74.95 per cent, as of 30 June 2024, to 64.82 per cent.

"The proposed issue will bring on board large HNIs and family offices. The company proposes to utilise the net proceeds for land acquisition, working capital requirements, general corporate purposes and issue-related expenses," said the company.

“We are delighted with the overwhelming support from our shareholders for this significant capital raise. The proceeds will enable us to accelerate our growth plans and strengthen our market position. We are confident that this will create long-term value for our shareholders,” said Rahul Rajan Jesu Thomas, whole-time director at Suraj Estate Developers.

Meanwhile, the company has fixed September 20 as the record date for the purpose of dividend payment. The company will hold its annual general meeting on September 26.

Suraj Estate Developers business overview

The real estate company specialises in redevelopment and has a significant presence in the South Central Mumbai (SCM) market. The company is focused primarily on value luxury and the luxury and commercial segments. However, it is now venturing into residential real estate development in the Bandra sub-market.

"Suraj Estate Developers has 13 ongoing projects with a developable area of 20.34 lakh square feet and a saleable RERA carpet area of 6.1 lakh square feet and 18 upcoming Projects with an estimated carpet area of ~9.01 lakh square feet," said the company.

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