Monday Watch: Multibagger Sudarshan Pharma Industries to raise ₹188 crore; should you invest?

Multibagger Small-Cap Stock Below ₹50 to Raise ₹188 Crore via Preferential Issue. Shares of Sudarshan Pharma Industries Ltd, a small-cap stock priced below ₹50, are set to be in the spotlight on Monday as trading resumes at 9:15 AM. Known for its multibagger performance, the stock has posted an impressive 525% return in the past year. The company has announced a preferential share issuance to raise up to ₹188.34 crore.

Sudarshan Pharma's Fundraising Plans

Sudarshan Pharma Industries has revealed that it plans to raise funds by issuing up to 4.3 crore Fully Convertible Warrants (FCWs), which can be converted into an equivalent number of fully paid-up equity shares. These shares will be allotted on a preferential basis to both promoters and non-promoter public category entities. The funds raised will be used to support business expansion, enhance operational capabilities, and ensure long-term financial stability.

The company intends to issue the warrants at a price higher than the floor price set in accordance with SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018, which will be determined at the Board's discretion. The total amount to be raised is ₹188.34 crore, subject to shareholder and regulatory approval.

Stock Performance

Sudarshan Pharma has delivered remarkable returns over the last year, climbing 525%. It has surged by 14% in just one month, 450% over the past six months, and 525% in the past year. This strong performance has significantly outpaced the broader market, with the stock posting over 8% returns in 2025 while major indices have remained flat.

The stock is only available for trading on the BSE and has a market cap of ₹1,174 crore, with a trade volume of 52,000 shares. Its 52-week high stands at ₹53.50, while the 52-week low is ₹5.82 per share.

Disclaimer: The views expressed above are those of individual analysts, experts, and brokerage firms. Investors are advised to consult certified professionals before making any investment decisions.