Shares of Knowledge Marine & Engineering Works (KMEW) were locked in the upper circuit of 20 per cent at Rs 70.55 on the BSE in Tuesday’s session on the back of heavy volumes. The stock of the shipping company has zoomed 68 per cent in the past three trading days from the level of Rs 41.90 on October 7, 2021.
Till 10:55 am, around 1.25 million equity shares or 12.25 per cent total equity of KMEW has changed hands on the BSE. There were pending buy orders for 447,000 shares on the BSE, the exchange data shows.
KMEW today announced that the company has been declared as the lowest bidder (L1) by the Visakhapatnam Port Trust for the tender of supply, manning, operation of high-speed patrol boat with 15 knots speed on hire basis for a period of three years and further extendable for two more years.
The company further said it is the sole technically qualified and lowest bidder in a tender invited by the Ministry of External Affairs for the upcoming contract of “dredging and providing maintenance for least available depth of 7.9 M on access channel and port basin at Sittwe Port and least available depth of 2 M on Kaladan River for shipping and navigation in KMTTP, Myanmar” for a period of 2.5 years.
KMEW had made a stock market debut on March 22, 2021. The company allotted shares at an issue price of Rs 37 per cent share in the initial public offer (IPO).
KMEW was incorporated in the year 2015 with a vision to own and operate marine craft for the Government of India and private players. The company has an approximate asset value of around Rs 30 crore and an order book of over Rs 100 crore. From 2015, the company has grown its fleet from 1 to 7 marine crafts (including the one owned by its associate company) currently, the company said in the FY21 annual report.
On future outlook, KMEW said India’s dredging sector is poised for strong growth over the coming years as the government is coming up with various policies, programs, schemes etc. to boost Indian shipping and dredging companies. With an increase in the E-Commerce business and transportation resulting in a high amount of traffic, the major and minor ports are continuously looking forward to enhancing current capacity which in turn is generating opportunities for Dredging as well as Small Craft Business, it added.
KMEW is currently trading on BSE SME Platform under the M group. The SME platform of the exchange is intended for small and medium-sized companies with high growth potential. The SME platform of the Exchange is open for SMEs whose post-issue paid-up capital has less than or equal to Rs 25 crore. The trading, clearing and settlement in the SME segment are done on a T+2 basis. The BSE SME scrips which are listed under the “M” group, their trading and clearing and settlement are done on a net basis. The market lot size of the scrip is 3,000 shares.