Mercury EV-Tech Surges 10% as Fundraising Announcement Sparks Investor Optimism!
India’s electric vehicle leader, Mercury EV-Tech, saw its shares soar nearly 10%, hitting the upper circuit following the announcement of a crucial fundraising initiative. The stock, which opened at ₹69.50 on the National Stock Exchange yesterday, rallied to close at ₹76.34, driven by strong buying momentum. Continued demand pushed the stock another 10% higher today, fueled by news that the company’s board will convene on Friday, September 13, 2024, to finalize a fundraising proposal.
The meeting will explore raising capital through convertible equity warrants or preferential equity share issuance, subject to member and regulatory approvals. With Mercury EV-Tech’s market cap now exceeding ₹1,260 crore, this move is poised to strengthen its financial position and accelerate its growth strategy in the booming electric vehicle (EV) sector.
Mercury EV-Tech’s Stock Performance:
- 1-year return: 90%
- 2-year return: 719%
- 3-year return: A staggering 11,828%
- 5-year return: An astonishing 21,105%
These numbers showcase the immense confidence investors have in Mercury EV-Tech’s growth potential.
This fundraising announcement comes at a pivotal time, as the company prepares to ramp up production and meet the growing demand for EVs. The funds will help Mercury EV-Tech expand its portfolio of electric scooters, cars, buses, vintage cars, and golf carts, while also advancing its research into electric two-wheelers (2W), three-wheelers (3W), and four-wheelers (4W).
Despite a recent decline in quarterly net sales and profits, Mercury EV-Tech continues to break new ground in the EV market. Earlier this year, it received approval from the Uttarakhand Road Transport Department to sell e-rickshaws and e-karts, marking a key milestone in its expansion strategy. This approval underscores the company’s commitment to sustainability and positions it to capitalize on India’s push towards clean energy and electric mobility.
As of 1:50 PM today, Mercury EV-Tech’s shares were trading at ₹83.97, just shy of a 10% gain. The stock’s 52-week high stands at ₹143.80, while its 52-week low is ₹40.98.