AVI Polymers Stock Hits Upper Circuit After Major Acquisition Announcement
Small-cap stock under ₹50 hits 5% upper circuit after this ₹500 crore acquisition update
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AVI Polymers, a small-cap stock, reached its 5% upper circuit limit on May 7, trading at ₹24.25 per share following the approval of a ₹500 crore acquisition of a 90% stake in JVTR Consultants Private Limited. This strategic move aims to enhance its technology sector presence and diversify its business operations.
- 01AVI Polymers approved a ₹500 crore acquisition of a 90% stake in JVTR Consultants.
- 02The stock reached ₹24.25, marking a 5% upper circuit limit on May 7.
- 03This acquisition aims to strengthen AVI's position in the technology sector.
- 04The stock has rebounded 128% from its April lows of ₹10.61.
- 05The company reported a 46.1% increase in net profit for Q4FY26.
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AVI Polymers Limited, a small-cap stock, surged to its 5% upper circuit limit on May 7, closing at ₹24.25 per share after announcing the acquisition of a 90% stake in JVTR Consultants Private Limited for an indicative valuation of ₹500 crore. This strategic acquisition is aimed at bolstering the company's presence in the fast-growing technology sector, which includes information technology services, software development, and digital platforms. The Managing Director, Chintan Yashwantbhai Patel, emphasized that this move is crucial for the company's growth trajectory and will help create scalable growth opportunities. Following a volatile period in April, when the stock dropped to ₹10.61, it has since rebounded by 128%, showcasing a strong recovery. For the March quarter of FY26, AVI Polymers reported a revenue of ₹150.28 crore, a 13.6% increase from the previous quarter, with net profit rising to ₹10.24 crore, reflecting a 46.1% growth.
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This acquisition could lead to increased job opportunities in the technology sector as AVI Polymers expands its operations.
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