Hutti Gold Mines Company Limited Unlisted Shares | Latest Share Price & Updates

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₹ 51,000

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₹ N/A

Fairly Valued

Company Overview

Hutti Gold Mines Company Limited (HGML), the only gold producer in the country, is engaged in the business of exploration, development and exploitation of gold mines in the state of Karnataka.  HGML is owned by Govt. of Karnataka with around 74% stake and the company

Business Model

HGML operates one mine each in Raichur and Chitradurg districts of Karnataka. During FY 2021, HGML produced 1,100 kgs of gold per annum and the company is planning to raise its annual output to 5,000 kgs per annum within the next 2 years.

The Hutti Gold Mine in Raichur district is a fully integrated unit with 550,000 tonnes production capacity of gold per annum. The company is also in wind power generation business and generated 185 lakhs KWh of wind power during FY 2021. 

During FY 2021, the company achieved turnover of ₹ 599 crores and net profit of ₹ 148 crores. The company is almost debt-free, and is currently engaged in the construction of a new circular shaft at Hutti with investment of ₹ 232 crores.

Registered Office

The registered office of the company is located at KHB Shopping Complex, National Games Village, Koramangala, Bangalore. 

Key Business Highlights

Ratio

RatioFY22FY21
Operating Margin24%35%
Net Profit Margin18%25%
Return on Equity 4%7%
Debt-Equity0.000.00
Current Ratio6.076.97
Dividend Payout30%30%

 

Financial Highlights

Particulars2021-222020-212019-202018-192017-18
Total Income (₹ Crores) 626.02600.23769.67544.91437.03
PAT (₹ Crores) 111.16148.53175.2480.3430.43
Basic & Diluted EPS 3752.925014.485916.342712.421027.39
Book Value per Share (₹) 84,803.0773,960.6668,723.3668,723.3664,043.77
Equity (₹ Crores) 2,511.892,190.742,035.612,035.611,897.00

Financial Charts

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Shareholding Pattern

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Peer Comparison

CompanyMarket Cap (₹ Crores)Profitability Margin (%)ROCE (%)ROE (%)D/E RatioP/E RatioP/B RatioBook Value per Share (₹)
The Hutti Gold Mines Company Ltd355018%6%4%0.0031.931.4184803.07
Deccan Gold Mines Ltd392-7600%-6%-6%0.01-119.827.444.51

Media Updates

Frequently Asked Questions 

The buying and selling of unlisted shares and pre-IPO shares is fully legal and valid. 

The procedure to buy the Hutti Gold Mines unlisted shares is fairly simple. Once you have settled on the price and quantity of the transaction, you would have to transfer the funds into the bank account of the seller. 

When the funds are transferred and transaction details are shared with the seller, your demat account will be credited with the shares either on the same day of the fund transfer or before the end of the next working day. 

In the secondary market, the transactions related to unlisted shares take place with the existing owners of the shares who are generally the employees or existing investors in the company. The company itself is not directly involved.  

The Hutti Gold Mines shares will get credited either the same day or before the end of the next working day when you transfer the funds into our bank account.

The minimum lot size varies on the basis of market conditions and demand and supply factors. To know the current lot size for Hutti Gold Mines Ltd unlisted shares, please visit the stock page on our website: www.delistedstocks.in  

There are many factors which influence the pricing of unlisted shares. Apart from the supply and demand factors, the latest transactions happened on the same stock, last funding round of the company, and valuation level of companies of the similar size affect the pricing of the unlisted shares. 

Before IPO, there is no restriction on sale and transfer of your Hutti Gold Mines unlisted shares. 

But once the shares are listed on the stock exchange, for retail investors, there is a minimum lock-in period 6 months after listing on the stock exchange.  

 

Once the selling price and quantity of shares is agreed with us, we will provide you with an UTR number to transfer the shares. Once you have transferred the shares into our company’s demat account, funds will be released into your bank account within 24 hours or before the end of the next working day of the transfer of the shares. 

If your holding period is less than 2 years, then such income is treated as business income and liable to get taxed as per tax slab of the investor. 

If your holding period is more than 2 years, then your profits would be subject to long-term capital gains tax. The current short-term capital gain tax rate is 20% after indexation.

The trading in unlisted shares is governed by Securities & Contract (Regulation) Act, which comes under the preview of SEBI.  The SEBI regulations become applicable when the stocks of the company get listed on the stock exchange. There is a minimum lock-in period of 6 months for pre-IPO investors. 

The major risk associated with investing in unlisted stocks is the liquidity risk. The possible exit route for investors is either to sell to another investor or wait till the company gets listed on the stock exchange. 

Yes, NRI’s can also buy and sell Hutti Gold Mines unlisted shares just like domestic investors. But their investment is on a non-repatriable basis. 

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