Hyderabad MoU Boosts India's Semiconductor Ambitions with PTW's Rs 1,000 Crore Investment
January 8, 2025Over the past year, Bartronics shares have yielded a 29% return, with a remarkable 470% increase over two years and a staggering 1751% rise over five years.
A significant Memorandum of Understanding (MoU) was signed in Hyderabad, marking a pivotal step towards establishing India as a global semiconductor hub.
The agreement, facilitated by Telangana's Minister of Information and Technology, Sridhar Babu Duddilla, includes a commitment from PTW Group to invest Rs 1,000 crores in the region, leveraging its skilled talent pool.
Torsten Seifried, Managing Director of PTW Group, emphasized the collaboration's focus on power semiconductor equipment production, aiming to support emerging fabs in India.
Despite this rally, Bartronics' stock remains 14% below its 52-week high of Rs 28.67, which was achieved in February 2024.
Bartronics India, founded in 1990 and headquartered in Hyderabad, specializes in IT services and technology solutions, including Automatic Identification and Data Capture (AIDC) technologies.
On January 8, 2025, Bartronics India shares opened at Rs 24.15 and reached an upper circuit limit of Rs 24.74, reflecting a 5% increase from the previous close.
The stock has experienced a notable 36% rally in January 2025, recovering from previous losses in November and December.
In Q2 FY25, Bartronics reported a revenue decrease to Rs 8.85 crore, but achieved a net profit of Rs 0.25 crore, a significant turnaround from a loss of Rs 0.99 crore in the previous year.
Singapore-based consulting firm TOP2 is advising both PTW and Bartronics on the proposed merger, which aims to strengthen their market positions.
This partnership will enhance local capabilities by combining PTW's technical expertise in the semiconductor industry with Bartronics' market insight.
The company's financial health is reflected in its return on capital employed (ROCE) of 3.78% and return on equity (ROE) of 8.17%, alongside a nearly debt-free status with a debt-to-equity ratio of 0.01x.
Summary based on 8 sources
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Sources
BusinessLine • Jan 8, 2025
Singapore’s PTW Group enters Indian semiconductor market via Bartronics partnershipBusiness Standard • Jan 8, 2025
Bartronics India hits the roof on inking MoU with PTW Group