Penny Stock Under Rs 1: Ahmedabad-based Company to Diversify with Entry into Organic Waste Management & Recycling - Details Inside!

DSIJ Intelligence-2 / 24 Jul 2025/ Categories: Mindshare, Penny Stocks, Trending

Penny Stock Under Rs 1: Ahmedabad-based Company to Diversify with Entry into Organic Waste Management & Recycling - Details Inside!

The stock is up by 65.71 per cent from its 52-week low of Re 0.56 per share and a whopping 386 per cent in 5 years.

Ahmedabad-based IFL Enterprises Ltd has approved its entry into the organic waste management and recycling business as part of its strategic plan to diversify into high-demand, environmentally sustainable sectors. The decision was taken at the company’s board meeting on 24 July 2025. The move aligns with global trends toward circular economy models and India’s increasing focus on waste reduction, energy recovery, and green urban infrastructure.

The organic waste management and recycling industry is projected to grow at a CAGR of 10–12 per cent over the next five years. The company expects the new venture to contribute substantially to revenue generation, environmental impact, and capital appreciation for shareholders. According to Director Mr. Meet Chhatrala, this expansion underlines IFL’s commitment to long-term value creation through future-ready business models. The company plans to repurpose collected organic waste into valuable energy, aiming for a dual-source revenue stream while reducing landfill and pollution levels.

Operationally, IFL will now focus on building a specialised R&D and technical team, acquiring processing machinery, and identifying suitable land in industrial and municipal zones for setting up units. The company also intends to ensure strict adherence to waste management technologies and regulatory compliance.

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The board is scheduled to meet again on 29 July 2025 to announce Q1 FY26 results and on 1 August 2025 to evaluate a proposal from Singapore-based Unique Global Managed Services PTE. Ltd to acquire up to a 12 per cent strategic stake in IFL at an indicative price of Rs 2 per share, representing approximately a 100 per cent premium to the current market price. Recently, four Foreign Portfolio Investors (FPIs)—Minerva Venture Fund, Nautilus Private Capital Ltd, Al Maha Investment Fund PCC-ONYX Strategy, and Nova Global Opportunities Fund PCC – Touchstone—acquired a combined 16.08 per cent stake in the company.

For FY25, IFL Enterprises reported revenue of Rs 120.60 crore, up more than 13-fold from Rs 8.24 crore in FY24, with net profit rising 254 per cent year-on-year to Rs 2.99 crore. Q4 FY25 results showed a net profit of Rs 3.04 crore on revenue of Rs 72.13 crore, compared with Rs 1.98 crore in Q4 FY24.

Incorporated in 2009, IFL Enterprises currently operates in the agri-commodity business, including imports, exports, contract farming, warehousing, and trading of agri-products, as well as financial instruments like shares, stocks, and bonds.

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