MOS Utility Limited Expands Its Horizons with Strategic Acquisition
MOS Utility share price: MOS Utility Limited, a prominent player in the fintech industry, has recently made headlines by acquiring a 51 percent stake in Samriddhi Inclusive Growth Network Private Limited. This strategic acquisition aims to bolster its service offerings, which include a variety of fintech and utility payment solutions for both businesses and individuals.
As of last Friday, MOS Utility’s shares rose by 1.48 percent, closing at Rs 319.50 on the NSE. This upward trend has contributed to an increase in the company’s market capitalization, which now stands at Rs 796 crore. Over the past 52 weeks, the stock has experienced significant fluctuations, with a high of Rs 332.90 and a low of Rs 84.
Completion of Acquisition Anticipated by September 2024
The acquisition process includes a Share Subscription/Share Purchase Agreement that has been signed, with MOS Utility anticipating the completion of this acquisition by September 2024. This move is expected to enhance the companyโs competitive edge and expand its footprint in the fintech sector.
Foreign Institutional Investors (FII) Backing
Recent bulk deal data from NSE indicates a growing interest from foreign institutional investors in MOS Utility. Two notable investors, Minerva Ventures Fund and Cent Capital Fund, have recently purchased significant shares in the company. Minerva Ventures Fund acquired 129,600 shares at an average price of Rs 285.94, while Cent Capital Fund purchased 149,600 shares at an average price of Rs 285.
Impressive Returns for Investors
| Investment Year | IPO Price | Current Share Price | Percentage Return |
|---|---|---|---|
| 2023 | Rs 76 | Rs 319.50 | 320% |
| 2023 | Rs 90 (listing price) | Rs 319.50 | 255% |
MOS Utility Ltd had its IPO last year at a modest price of Rs 76 per share. Since its listing on the NSE SME platform on April 18, 2023, the company has yielded remarkable returns for its investors. Those who invested during the IPO and retained their shares have seen a jaw-dropping profit of approximately 320 percent in just over a year and a half. Furthermore, investors who purchased shares at the listing price of Rs 90 are sitting on gains of about 255 percent to date.
Conclusion
With the upcoming acquisition of Samriddhi Inclusive Growth Network Private Limited and the backing of foreign institutional investors, MOS Utility Ltd is poised for continued growth in the rapidly evolving fintech landscape. As the company strengthens its service offerings and market position, investors may want to keep a close eye on its developments.
(Disclaimer: The information provided here is for informational purposes only. Investing in the market carries risks, and it is advisable to seek expert advice before making any investment decisions. Moneycontrol does not recommend investing money to anyone.)
