
Mumbai | 4-Oct-2025, 12:00 IST — Filed via BSE Corporate Filing
Shares of Vishnu Prakash R Punglia Limited (VPRPL) edged higher on Friday, rising 5% from its 52-week low of ₹91.72 per share, after the company issued a clarification on recent promoter equity transactions.
Promoter Clarification
Managing Director Mr. Manohar Lal Punglia stated that:
- Promoters sold 9.15% equity stake via open market transactions.
- Additionally, 1.78% of his personal holding was pledged.
- The proceeds are being extended to VPRPL as an interest-free loan.
The company emphasized that the move was aimed at infusing liquidity, strengthening operations, and supporting working capital needs.
Market Impact
- The stock recovered from recent lows and is currently trading 5% above its 52-week bottom of ₹91.72.
- Market observers noted that while promoter selling often raises concerns, the decision to route proceeds back into the business has eased investor sentiment.
- Volumes spiked during the session, reflecting heightened retail participation.
About the Company
- Incorporated in 1986, VPRPL is an engineer, contractor, and designer executing infrastructure projects for central & state governments, autonomous bodies, and private clients.
- Operates across 9 states and 1 union territory in India.
- As of 31-Dec-2024, the company’s order book stood at ₹5,125 crore, offering multi-year revenue visibility.
- Financial Snapshot:
- Market Cap: ~₹1,200 crore
- 5-Year Profit CAGR: 36%
- ROE: 7.81%
- ROCE: 11.4%
Key Takeaways
- Promoter actions were clarified as strategic liquidity support, not exit-driven.
- The order book strength (₹5,125 crore) underpins medium-term growth visibility.
- Investor focus will now shift to execution and cash flow management.
Conclusion
VPRPL reiterated that promoters remain committed to long-term growth, despite partial stake sale and pledge. The infusion of an interest-free loan is expected to bolster liquidity and support future projects, as the company continues to expand its footprint in India’s infrastructure sector.
- Sold 9.15% equity via open market.
- Pledged 1.78% (personal) shares.
- Proceeds extended to company as an interest-free loan to support liquidity & working capital.