Penny stock below Rs 5: Company secures fire-retardant materials order worth Rs 34.22 million from Olectra Greentech Ltd

Vikas Ecotech Limited announced that it has secured a significant order valued at approximately Rs 34.22 million from Olectra Greentech Limited. Olectra Greentech, a prominent player in India's electric mobility and green energy sectors, has placed this order for the supply of fire-retardant materials, specifically Aluminium Trihydrate (ATH). Vikas Ecotech expects to complete the execution of this order within the upcoming quarter, demonstrating its operational reliability and robust supply chain.

This new order underscores the increasing confidence in Vikas Ecotech's product performance and technical consistency, reinforcing its position as a reliable supplier of sustainable, safety-driven specialty materials. The demand for ATH is growing due to stricter safety regulations and its expanding use in various industries, including electric mobility, construction, automotive, and wire & cable. With India's ongoing infrastructure and green mobility expansion, the market for fire-retardant chemicals is set for continued growth, and this order strategically positions Vikas Ecotech to capitalise on this trend.

Advertisement:

50% OFF on DSIJ Digital Magazine

About Olectra Greentech Limited

Olectra Greentech Limited, a Hyderabad-based company and part of the MEIL Group, stands as India's premier pure electric bus manufacturer and a leader in green mobility solutions. Established in 2000 and rebranded in 2018, Olectra operates through its E-Vehicles division, producing electric buses, trucks, and tippers, and its Insulators division, manufacturing composite polymer insulators. With multiple manufacturing hubs in Telangana, including a new greenfield facility at Seetharampur aiming for an annual EV production capacity of up to 10,000 units, Olectra has already deployed over 2,200 electric buses across India, significantly reducing CO₂ emissions. The company, listed on BSE and NSE and ISO 9001:2008 certified with a DSIR-recognized R&D Centre, offers a diverse range of electric buses and the Meghaetron electric tipper, consistently contributing to India's sustainable transport future.              

About Vikas Ecotech Ltd

Vikas Ecotech Ltd, a New Delhi-based company, specialises in specialty polymers & specialty additives and chemicals for the plastics & rubber industries, serving diverse sectors including agriculture, infrastructure, and automotive. Notably, it stands as India's sole manufacturer of Organotin, a heat stabiliser for vinyl applications, with unique in-house R&D capabilities, and is among a select few globally possessing this comprehensive manufacturing expertise. The company has recently diversified its portfolio by acquiring a plasticiser manufacturing business and venturing into infrastructural steel supply during FY 2021-22, in addition to expanding into consumer-focused products. Vikas Ecotech's securities are listed on both the BSE and NSE.

According to Quarterly Results, the net sales increased by 2.5 per cent to Rs 103.56 crore and net profit decreased by 77.2 per cent to Rs 2.37 crore in Q1FY26 compared to Q1FY25. In its annual results, the net sales increased by 46 per cent to Rs 377.67 crore and net profit increased by 149 per cent to Rs 16.98 crore in FY25 compared to FY24.

The promoters of the company hold 10.65 per cent stake, FIIs hold 0.02 per cent stake and public shareholders hold 89.33 per cent stake. The company has a market cap of over Rs 380 crore. The stock is up by 4.83 per cent from its 52-week low of Rs 2.07 per share.

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