Synopsis: Micro-Cap stock rose 17% after signing an LOI with SUJOK GLOBAL for a $1B semiconductor packaging plant in India. The project targets advanced chip tech, with RBM holding 30% and SUJOK 70%, including $600M FDI.
The shares of a Micro-Cap company specialising in providing comprehensive engineering, procurement, construction (EPC), and maintenance services are in focus after rallying by up upto 17 percent in the day’s trade, followed by entering a $1B MoU for a semiconductor packaging facility in India
With a market capitalization of Rs. 491.24 Crores on the Day’s Trade, the shares of Rbm Infracon Limited jumped upto 16.5 percent, reaching a high of Rs. 465.00 compared to its previous close price of Rs. 399.05.
What Happened
RBM Infracon Limited, engaged in providing comprehensive engineering, procurement, construction (EPC), and maintenance services, has announced that it has signed a binding Letter of Intent (LOI)/MoU with SUJOK GLOBAL Private Limited to set up a USD 1 billion advanced semiconductor packaging facility in India.
The proposed project will be a greenfield facility focused on high-end technologies like QFN/LFBGA packaging and hybrid bonding, aligned with India’s semiconductor mission and policy initiatives.
Under the proposed structure, RBM Infracon will hold a 30% stake, while SUJOK Global and its partners will hold 70%, including a committed foreign direct investment (FDI) of USD 600 million. The facility is expected to support advanced applications such as AI, high-performance computing (HPC), chiplets, and image sensors, while also boosting exports and employment.
The agreement includes provisions for technology transfer, intellectual property rights, milestone-based funding, and strong governance safeguards. However, the deal is subject to due diligence, regulatory approvals, and final agreements, which are expected to be completed within 90 days.
Financials & Others
The company’s revenue rose by 175.7 percent from Rs. 103 crores in September 2024 to Rs. 284 crores in September 2025. Meanwhile, Net profit rose from Rs. 10 crores to Rs. 27 crores in the same period.
The company shows strong financial efficiency, with a ROCE of 32.8% and ROE of 24.8%, indicating it is generating solid returns on both capital employed and shareholder equity. A low debt-to-equity ratio of 0.21 further reflects a conservative capital structure with limited reliance on borrowed funds, which reduces financial risk.
From a growth and valuation perspective, the company has delivered an impressive profit CAGR of 201% over the last 5 years, highlighting rapid expansion in earnings. Additionally, the increase in promoter holding by 1.97% over the last quarter signals stronger promoter confidence. The very low PEG ratio of 0.07 suggests the stock may be trading at a significantly undervalued level relative to its growth.
RBM Infracon Ltd, established in 1993 and headquartered in Gujarat, is a financially strong, net debt-free company. It specialises in engineering, execution, testing, commissioning, operation, and maintenance services, mainly in the mechanical and rotary equipment sector.
The company serves key industries such as oil & gas refineries, petrochemicals, fertilisers, power plants, cement, sugar, and paper. It works with major clients like Reliance Industries, L&T, Nayara Energy, and others, and has also entered oil & gas exploration with an ONGC production enhancement contract, while expanding into green hydrogen and solar energy sectors.
RBM Infracon Ltd has over 31 years of experience with a strong operational track record, having completed 87 projects and currently executing 17 ongoing projects. The company has a workforce of 2,000+ employees and a robust current order book of Rs. 4,531.26 crore.
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