Shares of Praveg have shot up to the moon in the past two days thanks to the positive buzz around Lakshadweep tourism.
What Happened: The Ahmedabad-based small-cap company involved in luxury resorts has seen its shares surge up over 40% in the last two sessions. This significant increase was attributed to renewed interest from Indian tourists in Lakshadweep following Prime Minister Narendra Modi‘s visit to the archipelago and subsequent critical comments from Maldives officials.
The negative sentiments among Indian tourists toward the Maldives have created an opportunity for firms operating in Lakshadweep. In December of the previous year, Praveg announced that it had received a work order for developing, operating, maintaining, and managing at least 50 tents on Agatti Island in Lakshadweep. The project includes facilities for scuba diving, destination weddings, corporate functions, and more. The work order is for three years, and extendable for another two years.
Praveg, headquartered in Ahmedabad, also operates Tent Cities in Varanasi and Ayodhya. The company aims to provide world-class, eco-responsible hospitality with a focus on luxury, sustainability, and showcasing the unique cultural and natural aspects of Agatti Island. With this recent expansion, Praveg now boasts a substantial portfolio of 580 operational rooms spread across multiple states.
Price Action: Praveg’s share price was licked in 20% upper circuit on Tuesday at ₹1,219.10.
Get all the latest Share Market trends and news to set you up for the week ahead.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.