Penny stock below Rs 10: Company executes settlement deed with HCL Limited

DSIJ Intelligence-1 / 10 Dec 2025/ Categories: Multibaggers, Penny Stocks, Trending

The stock is up 8.4 per cent from its 52-week low of Rs 8.75 per share and gave multibagger returns of 150 per cent in 5 years.

SEPC Limited has successfully executed a Settlement Deed with its client, Hindustan Copper Limited (HCL), reaching a full and final resolution regarding the inter-se claims and counterclaims stemming from the ongoing arbitration proceedings (Case No. AP No.163 of 2023). Under the terms of the Settlement Agreement dated December 8, 2025, SEPC will receive a total payment of Rs 30,44,80,495. A major consequence of this settlement is the closure of the existing arbitration proceedings and the anticipated issuance of a supplementary work order valued at Rs 72,54,57,640. This supplementary order pertains to the existing work SEPC is carrying out for HCL on vertical shaft sinking, indicating a significant continuation and expansion of their working relationship following the successful resolution of the dispute.

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About the Company

SEPC Limited, previously known as Shriram EPC Limited, is a well-established company providing turnkey EPC (Engineering, Procurement, and Construction) solutions across key infrastructure sectors. The company's expertise lies in the design, procurement, construction, and commissioning of large and complex projects in India, particularly within the Water & Wastewater, Roads, Industrial Infrastructure, and Mining sectors. Serving a wide range of clients, including both Central and State Government agencies, SEPC plays a significant and continued role in advancing India's infrastructure development.

In Q2FY26, total income increased by 39 per cent to Rs 237.42 crore, EBITDA increased by 38 per cent to Rs 10.57 crore and net profit increased by 262 per cent to Rs 8.30 crore compared to Q2FY25. In FY25, SEPC reported a revenue of Rs 598 crore, EBITDA of Rs 51crore and net profit of Rs 25 crore.

Domestic Institutional Investors (DIIs) own a 14.52 per cent stake in the company and the majority of DIIs are Punjab National Bank (PNB), Central Bank of India, The South Indian Bank, Axis Bank, Bank of India (BOI) and IndusInd Bank. SPEC has a market cap of over Rs 1,700 crore. The stock is up 8.4 per cent from its 52-week low of Rs 8.75 per share and gave multibagger returns of 150 per cent in 5 years.

Disclaimer: The article is for informational purposes only and not investment advice.