Penny stock under Re 1 jumps after board approves a strategic investment proposal from a Singapore-based company at 100% premium

On Friday, shares of IFL Enterprises Ltd hit a 5 per cent upper circuit to Re 0.99 per share from its previous closing of Rs 0.95 per share. The stock’s 52-week high is Rs 1.39 per share and its 52-week low is Re 0.56 per share.

The Board of Directors of IFL Enterprises Limited, in a meeting on August 1, 2025, has given in-principle approval for a strategic investment proposal from UNIQUBE GLOBAL MANAGED SERVICES PTE. LTD., Singapore. This proposal involves UNIQUBE acquiring up to a 12 per cent equity stake in IFL Enterprises at a proposed price of Rs 2 per share. The investment will be structured through a mutually suitable method such as preferential allotment, Qualified Institutional Placement (QIP), or a Rights Issue, ensuring full compliance with SEBI regulations, FEMA, and other statutory requirements.

To facilitate this transaction and ensure regulatory adherence, IFL Enterprises will appoint dedicated consultants and legal advisors to manage the structuring, due diligence, documentation, and necessary approval processes. The company will also initiate filings and applications for approvals from key regulatory bodies, including the Reserve Bank of India (RBI) under FEMA guidelines and SEBI under relevant ICDR and SAST regulations. This strategic investment is anticipated to significantly bolster IFL Enterprises' growth capabilities and further institutionalise its shareholding.

Additionally, the board approved the company's entry into the Organic Waste Management & Recycling business. This diversification into an environmentally sustainable sector, projected to grow at a 10-12 per cent CAGR over five years, is expected to generate significant long-term value through new revenue streams and positive environmental impact.

For Q1FY26, IFL Enterprises recorded revenue from operations of Rs 33.41 crores, a substantial 118.5 per cent Y-o-Y increase from Rs 15.29 crores in Q1FY25. Consolidated Net Profit for the quarter reached Rs 5.15 crores, a remarkable improvement compared to Rs 0.03 crores reported in the same period last year. The company also showed strong sequential momentum, with a 69.41 per cent Quarter-on-Quarter (Q-o-Q) rise in net profit compared to Q4FY25.

About the Company

 Incorporated in 2009, IFL Enterprises Ltd. has diversified its operations significantly since its inception. Initially focused on trading fabric and related products, as well as shares and securities, the company has expanded its portfolio to include a wide range of paper and stationery items, such as writing paper, coated paper, copier paper, and notebooks. More recently, IFL Enterprises Ltd. has ventured into the agri-commodity business, encompassing the import, export, and trading of agricultural produce, including fruits, vegetables, seeds, and organic/herbal products, alongside contract farming and warehousing. The company continues to actively trade in financial instruments like shares, stocks, and bonds.

IFL Enterprises has a market cap of Rs 123.26 crore. The stock is up by 77 per cent from its 52-week low of Re 0.56 per share and a whopping 425 per cent in 5 years.

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