Hitech Corporation Ltd To Incorporate a Subsidiary in the USA

On April 15, 2024, Hitech Corporation Ltd informed in an exchange filing that the company’s board of directors held a meeting and approved the proposal to incorporate a wholly-owned subsidiary in the United States of America (USA).

Details of the Wholly Owned Subsidiary

On Monday, the board of directors of Hitech Corporation Ltd approved the proposal to incorporate a subsidiary in the USA. Hitech Corporation further said that Malav Dani, the company’s current managing director, will be the president of the new wholly-owned subsidiary.

In the exchange filing, Hitech Corporation Ltd stated that the new company is proposed to be incorporated in the USA as a Wholly Owned Subsidiary (WOS) of the company by subscribing to the share capital of the proposed company for an amount up to USD 1,000,000 of which the initial subscription shall be USD 1,00,000.

The wholly owned subsidiary will be engaged in the business of trading, import and export, design and development, etc. It is expected to be incorporated in 2 months.

The company informed that the new wholly-owned subsidiary is being incorporated to explore opportunities for upgrading manufacturing technology, improving designing capabilities, and researching innovative materials. Additionally, it aims to expand the global base of vendors and customers and identify new business opportunities.

About Hitech Corporation Limited

Hitech Corporation Limited is engaged in manufacturing rigid plastic packaging products, especially for customers in the paints, lube, agrochemical, Fast Moving Consumer Goods (FMCG), home care, health care and personal care products markets, as well as the export market.

In Q3 FY 2023, the company reported a revenue of ₹121.07 crore, which increased by approximately 6.8% to ₹129.30 crore in Q3 FY 2024. In Q3 FY 2024, it reported a net profit of ₹2.53 crore, which is less by approximately 5.60% than ₹2.68 crore in Q3 FY 2023.

On April 16, 2024, the share price of Hitech Corporation Limited opened at ₹198.80, touching the day’s high at ₹213.70, as of 11:43 AM on the NSE.

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