By Sumit Bilgaiyan
Established in 1985, Bhagyanagar India Limited (BIL), the flagship company of Surana group, is engaged in Copper and Wind Power business. Recently it has announced demerger of its solar and real estate business into two separate companies which will create a lot of value for its shareholders.
Post this scheme of arrangement Bhagyanagar India will be focused on copper business. It will continue to enhance its product mix according to the requirements of OEM clients. Bhagyanagar is looking at a minimum of 10 percent volume growth in this year.
The situation post GST looks very promising. The company currently has an overall installed capacity of 9 MW comprising of 7 wind turbines in state of Karnataka and 6.4 MW comprising 5 wind turbines in Tamilnadu. We have a Buy recommendation with target price of Rs 55, stoploss Rs 47.
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