Arihant Capital Markets, an Indian financial services firm, has acquired a significant stake in Davangere Sugar Co. Ltd,
a diversified agro-industrial company. According to data from the NSE (National Stock Exchange) website, Arihant Capital
purchased over 2 crore shares of this penny stock, which trades below ₹5, in a bulk deal executed on Friday, December
The NSE data reveals that Arihant Capital bought 2,16,46,910 equity shares of Davangere Sugar on the open market. The
average price per share was ₹4.27, making the total value of the transaction exceed ₹9.24 crore.
Interestingly, the data also indicates that Arihant Capital sold 7,90,498 shares of Davangere Sugar at an average price
of ₹4.04 per share, amounting to ₹31.93 lakh, alongside the substantial purchase.
Following Arihant Capital's bulk acquisition, Davangere Sugar's stock price experienced a surge of over 10% during
Friday's trading session. The stock reached an intraday high of ₹4.46, a notable increase from its previous closing
Davangere Sugar's shares closed at ₹4.41 on Friday, marking a 9.43% increase compared to the previous day's close,
Performance-wise, the stock has declined by over 20% in the past year and is down 21.95% year-to-date. However, in the
last month, the company's shares have provided investors with a return of 19.84%, and they are currently trading 15.75%
higher than they were five sessions ago.
The stock's 52-week high reached ₹6.36 on January 22, 2025, while its 52-week low was ₹3.03 on October 10, 2025. As of
Friday's market close, Davangere Sugar's market capitalization stood at ₹630.63 crore.
Davangere Sugar's management is currently focused on reducing the company's debt and improving its profitability and
balance sheet. To this end, the company's promoters recently secured ₹150 crore in funding.
Furthermore, Davangere Sugar's promoters have invested approximately ₹44 crore in company advertisements and acquired
nearly 10 lakh equity shares from the open market. These actions aim to bolster investor confidence in the company's
stock as it pursues long-term growth.
Originally a sugar manufacturer based in Karnataka, Davangere Sugar has diversified its operations to include ethanol
production and power cogeneration. The company is increasingly prioritizing ethanol production and sustainable