Ajooni Biotech eyes Rs 200 crore additional revenue annually - Details

Ajooni Biotech Limited has unveiled its plans for commercial production of Moringa by financial year 2025-26. This significant development aligns with the company's ongoing rights-issue and the signing of a Memorandum of Understanding (MoU) with UnnatiAgri-Allied & Marketing Multi State Cooperative Society Limited (UAMMCL), supported by Central and Punjab Government.

"The Moringa revolution is upon us, and Ajooni Biotech is at the forefront," declares Ajooni Biotech's Managing Director Jot Singh. 

"Moringa, often referred to as the 'miracle tree,' holds immense potential for the future of animal health and sustainable practices. The funds raised through the rights issue will be instrumental in propelling us towards our goal of commencing commercial production of Moringa by FY26," he added.

Moringa boasts a wealth of health benefits offering significant benefits for animal well-being. Moringa oil, derived from the seeds, exhibits promising characteristics for use in aviation biofuel.

Ajooni Biotech's ongoing rights-issue, which began on May 21  and closes on May 31, aims to raise Rs 43.81 crore. Shareholders have the chance to acquire additional shares at a discounted price of Rs 5 per share – over 20 per cent discount to the closing share price on 18 May 2024. 

Ajooni Biotech's rights issue signifies a strategic move towards unlocking the immense potential of Moringa in the animal healthcare market, creating a sustainable and profitable future for Ajooni and its stakeholders. 

Rajan Shah, SEBI Registered Investment Adviser strongly recommended subscription of the rights issue for both short term and long term investors.

"A significant portion of the proceeds will be directed towards further research on Moringa's applications in animal health, directly translating into the development of innovative and effective Moringa-infused products. The rights issue will also facilitate the establishment of large-scale Moringa cultivation infrastructure, ensuring a secure and sustainable supply chain for Moringa-based products," he elaborates.