by Bharat Global Developers share price target 2025. The share price of Bharat Global Developers, a small cap on the BSE that operates in the IT Equipment & Peripherals sector, is currently 1236.45. Today, the stock fluctuated, reaching a low of ₹1236.45 and a high of ₹1236.45. The shares have fluctuated between a low of ₹49.45 and a high of ₹1702.95 over the last 52 weeks.
Details of Bharat Global Developers Ltd.’s Annual Growth and Company History
On June 15, 1992, the company was incorporated as a Private Limited Company with the Gujarat Registrar of Companies in Ahmedabad. On September 8, 1993, it changed its name to Perfect Weavers Limited, a Public Limited Company. The business currently has a facility in Kalol, Gujarat, where it produces and exports 100% cotton textiles manufactured from gray yarn. Commercial manufacture of the unit began in September 1992. [Bharat global developers share price target 2025 ]
In order to gain market share, the company first performed weaving for M/s Bharat Vijay Mills Limited, a reputable textile mill in Ahmedabad. Nevertheless, the company has not signed a contract with Bharat Vijay Mills Ltd. to perform the task work. In addition to having a low profit margin, it was unable to operate at its full potential.
But in 1993–94, the company increased the use of its capacity and began exporting some of its fabrics through merchant exporters after processing them at Bharat Vijay Mills Limited, where better results were obtained.
Encouraged by the positive feedback regarding the quality of their fabrics, the company made the decision to construct machinery for a weaving and yarn dyeing facility in order to increase its weaving capacity from 11.40 lac meters annually to 39.89 lac meters annually.
In 2003, a contract for B.P.O. work was negotiated with a company based in A.P. 2011: The company’s registered office will now be located at 1 Ashiyana Bunglow, next to Judges Bunglow, Bodakdev, Ahmedabad 380015, instead of 302 Mahakant Complex, near V S Hospital Ellisbridge, Ahmedabad 380006. [Bharat global developers share price target 2025 ]
The registered office of Sequel e-Routers Ltd. was moved from 1, Ashiyana Bunglow, Opp. Judges Bunglow, Bodakdev, Ahmedabad – 380015 to 1, Ankur Complex, 2nd Floor, B/h, Town Hall, Opp. Hasubhai Chambers, Ellisbridge, Ahmedabad – 380 076
in 2012. In order to consolidate the company’s equity shares from Rs. 1 each to Rs. 10 each, 2014 Sequel e-Routers Ltd. has been set as a Record Date. The face value of Sequel e-Routers has been consolidated from Rs 1 to Rs 10 in 2024. – Kkrrafton Developers Ltd. has been replaced by Bharat Global Developers Ltd.
– Tata Agro & Consumer Product placed an order for Rs. 650 crore.
Due to financial misrepresentation, SEBI suspends trading in Bharat Global Developers.
A multifaceted scheme involving preferential allotments, false corporate announcements, and a sharp increase in the company’s share price is depicted in the Securities and Exchange Board of India’s (SEBI) order regarding the affairs of Bharat Global Developers Ltd. (BGDL), a company listed on the Bombay Stock Exchange (BSE), which may have violated multiple securities laws. [Bharat global developers share price target 2025 ]
Social media posts and a complaint made on December 16, 2024, highlighting the company’s unusual share price spike, served as the impetus for the investigation. By November 2024, BGDL’s shares had increased 105 times, from Rs16.14 in November 2023 to Rs1,702.95 in November 2024.
The administration and operations of BGDL
The administration and operations of BGDL, which was earlier known by a number of names, such as Perfact Weavers Private Limited and Kkrrafton Developers Ltd., have changed significantly since December 2023. Up until June 2020, the company’s five promoters retained a 16.77% ownership. However, they gave up all of their shares, making the structure of the shareholding 100% public.
After the shareholding structure changed, BGDL made a number of preferential allocations that changed the company’s equity. By awarding 9.72 crore equity shares to 31 non-promoter preferential allottees in April 2024, the company’s paid-up equity share capital skyrocketed from Rs0.56 crore to Rs97.76 crore. Following this, ten more allottees received 35 lakh equity shares in August 2024 as part of a second tranche of preferential allocation.
The preferential offer in March 2024 was done at an issue price of Rs10 per equity share, according to SEBI’s probe, but the closing price of the company on the final trading day prior to the allotment was Rs120.10 per share. There were major worries about the possible exploitation of minority shareholders because of this substantial discount, which was more than 91%.
The preferential allottees, who were listed in SEBI’s interim decision as noticees 1 through 19 and 38 through 47, seem to have participated in a concerted effort to sell their shares at exorbitant prices. According to SEBI, 19 of these preferential allottees quickly sold their shares and made large profits. Noticee 1, Rajesh Gupta, for example, bought 3.61 crore shares at Rs10 each and sold them for an average of Rs1,455.41 each, making a profit of Rs1,149.41 crore. Likewise, noticees 2 and 3’s offloading efforts generated profits of Rs214.82 crore and Rs179.20 crore, respectively, for Priya Sharma and Aditya Verma.
BGDL started making a number of corporate announcements that depicted a quickly growing and diverse company at the same time as the preferential allocations. The business revealed that it has secured multiple high-value orders from respectable businesses like McCain India Agro Pvt Ltd and Reliance Industries Ltd., as well as the creation of six new wholly-owned subsidiaries. [Bharat global developers share price target 2025 ]
A number of high-value orders from respectable businesses
A number of high-value orders from respectable businesses, including McCain India Agro Pvt Ltd and Reliance Industries Ltd, were swiftly announced by BGDL. According to the business, McCain India Agro Pvt Ltd had awarded them a Rs300 crore order for the supply of 2,00,000 tons of Kufri Ashoka potatoes over a six-month period. A high-capacity fluidized catalytic cracker (FCC) unit design, engineering, and construction order for Rs120 crore was also announced by BGDL from Reliance Industries Ltd. The project is expected to be completed in six months.
But the results of SEBI’s inquiry showed that these “high-value orders” were either greatly overstated or entirely fake. The existence of such contracts with BGDL has been challenged by the corresponding counterparties, McCain India Agro Pvt Ltd and Reliance Industries Ltd. What’s even more shocking is that BGDL itself then changed the Reliance Industries Ltd order’s value from Rs300 crore to Rs120 crore, significantly undermining the company’s legitimacy. [Bharat global developers share price target 2025 ]
The share price of BGDL has been severely impacted by these fraudulent and deceptive representations. On November 28, 2024, the company’s share price hit an all-time high of Rs1,702.95 after the suspension from trading on the BSE was lifted in November 2023. There was no real financial or business performance to back up this dramatic rise in the share price.
SEBI after reviewing BGDL’s financial accounts
Anomalies have also been discovered by SEBI after reviewing BGDL’s financial accounts. The income of the company, which was insignificant over the eleven fiscal years from 2012–13 to 2022–23, abruptly increased from Rs0.04 crore in 2022–23 to Rs 25.78 crore in 2023–24 and then to Rs283.54 crore during the six-month period from April to September 2024. [Bharat global developers share price target 2025 ]
In the interim ruling, SEBI has presented its preliminary findings based on its inquiry. According to the regulator, BGDL has conspired to deceive investors by making fictitious and misleading announcements and by falsifying financial data. It is suspected that these acts violate a number of SEBI Act rules and associated regulations, such as the Listing Obligations and Disclosure Requirements (LODR) Regulations and the Prohibition of Fraudulent and Unfair Trade Practices (PFUTP) Regulations.
