Inventure Growth & Securities Ltd. Unveils Strategic Expansion Post Rights Issue | Details Here
Inventure Growth & Securities Ltd., a leading player engaged in the business of wealth management, and distribution of financial products, has announced a strategic expansion plan set to redefine its future growth trajectory. This announcement follows the successful completion of a rights issue, with the company now focusing on utilizing the proceeds to fuel key growth areas that promise substantial returns for investors.
A significant portion of the rights issue proceeds, ₹19.10 crore, will be dedicated to expanding the company’s arbitrage and share trading business. This expansion will involve enhancing the infrastructure for arbitrageurs and injecting additional working capital, enabling the company to seize lucrative opportunities in the capital markets. This move is expected to build long-ter capabilities, allowing Inventure Growth to navigate varying economic conditions and capitalize on favorable market scenarios.
Additionally, the company has earmarked ₹15 crore for the expansion of its Margin Trading Facility (MTF), an area that has already seen robust client demand. The expansion is projected to generate an annual revenue growth of 15-18%, driven by a combination of interest income and increased brokerage fees from delivery-based turnover. The company has outlined ambitious targets for its MTF business, with Assets Under Management (AUM) expected to grow from ₹39.48 crore in FY2024 to ₹90 crore by FY2026. This exponential growth is a testament to the company’s strategic vision and its ability to scale operations effectively.
Inventure Growth & Securities Ltd. is also investing ₹3.93 crore in advanced technology and proprietary software, recognizing the critical role of cutting-edge technology in the broking industry. This investment is aimed at improving operational efficiency, reducing costs, and enhancing client retention. The technology upgrade is expected to result in significant cost savings related to manpower and increased revenue through higher brokerage income, further strengthening the company’s financial performance.
The company’s recent financial performance underscores its potential. Inventure Growth has reported a 22.59% increase in annual revenue to ₹62.51 crore, with a staggering 780.82% YoY growth in quarterly net profit.
(Disclaimer: The information provided in this article is for informational purposes only and should not be construed as investment advice. Readers are encouraged to consult with a qualified financial advisor before making any investment decisions.)