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Microcap stocks jumps 5% after signing deal to open hotel in Maharashtra 

Published 09-08-2024, 12:07 pm
Updated 09-08-2024, 03:16 pm
Microcap stocks jumps 5% after signing deal to open hotel in Maharashtra
ECOH
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In Friday’s trading session, the shares of a company engaged in the hotel and hospitality business surged by nearly 5 percent to Rs. 41.55 on BSE, after the company signed a deal to open a hotel in Maharashtra.

At 11:17 a.m., the shares of Eco Hotels And Resorts Limited were trading in the green at Rs. 41.4, up by 4.5 percent, compared to its previous closing price of Rs. 39.61, with a market cap of Rs. 213.3 crores.

Is Eco Hotels And Resorts a buy or sell? What is its Fair Value? What are the company's health parameters? What are the positive and negative factors driving the company -- ProTips? Know all the answers on the company's overview page here.

What’s the News:

According to the latest regulatory filings with the BSE, Eco Hotels and Resorts Limited signed a deal to open a 94-room hotel in Sindhudurg, Maharashtra.

Before this, the company’s Board approved signing a deal to open a 63-room hotel in Kota, Rajasthan, on 23rd May.

Previous News:

On February 10th, the Board of Eco Hotels and Resorts Limited approved the proposal for the acquisition of 100 percent shares of Vitizen Hotels Limited (VHL) along with approving the signing of a Memorandum of Understanding (MOU) with the shareholders of VHL.

This acquisition encompassed all properties managed by Vitizen Hotels, which includes a total of 1,075 operational rooms.

Financials:

The company experienced a fall in its revenue from operations, showing a year-on-year decline of 50 percent from Rs. 0.06 crores in Q1 FY23-24 to Rs. 0.03 crores in Q1 FY24-25.

Similarly, its net loss increased during the same period from Rs. 0.4 crore to a loss of Rs. 1.09 crores.

Stock performance:

The stock has delivered positive returns of nearly 18.5 percent in one year as well as around 11.4 percent returns in the last six months. So far in 2024, the shares of Eco Hotels and Resorts have given about 93 percent of positive returns.

Shareholding Pattern:

As per the shareholding pattern of June 2024, the Promoters hold a 38.08 percent stake in the company, while Retail Investors hold a 61.92 percent stake in Eco Hotels and Resorts.

About the company:

Eco Hotels and Resorts Limited, formerly known as Sharad Fibres And Yarn Processors Limited, is engaged in the business of building hotels, management and operations of hotels, and services which are allied services in the hospitality business such as food and beverages, ticket booking, car rentals, tours, and more.

Written by Shivani Singh

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