Aksh Optifibre Ltd Soars 42.2%: Key Developments and Financial Outlook for Investors

Aksh Optifibre Ltd has experienced a notable surge in its stock price, climbing 42.2% from its 52-week low of Rs 7.84 per share. On Friday, shares of the company rose by 11.24%, reaching an intraday high of Rs 11.38, compared to the previous closing of Rs 10.23. The stock’s 52-week high is Rs 15.85, and it closed at Rs 11.15, marking a 9% increase with trading volume spiking by over 1.23 times on the BSE.

Key Recent Developments:

1. Usufruct Rights Sale: Aksh Optifibre’s subsidiary, AOL FRP, has signed an agreement with Oriental Group FZE to sell usufruct rights to buildings and structures located in JAFZA, Dubai. The sale, valued at AED 5.20 million (approximately Rs 1,188 lakh), aims to repay outstanding bank debts. This agreement was executed on October 17, 2024, following the necessary approvals.
2. One-Time Settlement with HDFC Bank: The company has confirmed that HDFC Bank has accepted its one-time settlement (OTS) proposal. Under this agreement, Aksh Optifibre will pay Rs 2,559.78 lakh to settle a total loan liability of Rs 3,556.00 lakh. This amount is to be settled within 90 days from the OTS approval date.
3. Recall Notice from Union Bank of India: The company has received a notice from Union Bank of India recalling facilities worth Rs 50.66 crores, indicating potential financial challenges ahead for Aksh Optifibre.

Company Overview: Aksh Optifibre Limited manufactures a diverse range of products, including optical fiber, optical fiber cables, fiber-reinforced plastic rods, and ophthalmic lenses. The company serves both domestic and international markets and is involved in e-governance services, smart city solutions, and FTTH projects.

Conclusion: Given its recent performance and developments, Aksh Optifibre could be an interesting prospect for investors looking into micro-cap stocks with growth potential, despite the associated risks. It’s advisable to stay informed about the company’s financial health and market conditions before making any investment decisions.

Disclaimer: This article is for informational purposes only and should not be considered as investment advice.