Praveg Ltd (Formerly known as Sword & Shield Pharma Ltd) was incorporated on March 23, 1992 with the Registrar of Companies, Gujarat State. Thereafter, the name of the Company changed from Sword & Shield Pharma Ltd to 'Praveg Communications (India) Ltd' dated December 2, 2020. Further, the Company changed the name from 'Praveg Communications (India) Ltd' to 'Praveg Ltd' on November 28, 2022. The Company is a renowned name for offering creative solutions across varied media and domains on a turnkey basis and presently, it is engaged in business of providing services of Advertising, Hospitality, Management and Organization of Events and Exhibitions. The company is a pioneer in eco-responsible luxury hospitality. Its resorts are in areas of significance from a cultural and heritage point of view and places of exotic and natural beauty. The company’s luxury tents allow access to locations, where no traditional construction is possible, which allows tourism to flourish while ensuring the preservation of delicate local ecosystems. Due to the premium quality of the company’s tents and the high-end experience, the resorts enjoy very high occupancy, strong pre-sales at luxury hotel rates and a high return on capital due to the non-permanent structure of the resort. The company is also a strong player in events due to its roots in event management and expertise in creating large, non-permanent, world-class structures in very short periods of time. The company’s Events division has recently diversified into Weddings and Banquets hotels. Company has 20+ Years of Experience and currently managing more than 10 resorts with over 680+ rooms and spread across 4.26 lakh Sqm. It has managed 1000+ events and 2000+ Exhibitions for more than 160+ clients. It has a well-diversified clientele of Government and Private sector clients which are as shown below:

Government Sector Clients:

Private Sector Clients:

Company’s Tourism and Hospitality segment includes Tent City Narmada near the Statue of Unity, Kevadia is operated and managed by Praveg successfully since 2018 in association with Gujarat Tourism, ‘White Rann Resort’, is the Tent and Bhunga operations at Dhordo, Kutch in association with Gujarat Tourism for an internationally-acclaimed Rann Utsav Festival. Tent City Varanasi, in association with Varanasi Development Authority, is the only luxurious tented resort, beautifully located right on the banks of holy Ganga River. Company also owns Beach Resorts, a seaside resort with panoramic sea views at the Lighthouse Beach and Jampore Beach in Daman which offers 33 independent luxury cottages with rich interiors, top-notch amenities, and breathtaking panoramic sea-views and 28 luxurious Cottages with refreshing interior and 7 Machans Cottages that rise 8 feet above the ground overlooking the sea respectively in Daman. It also owns beach resorts at Diu are beautifully positioned on Chakratirth and Ghoghla beaches respectively. Praveg Resort Dholavira located in Dholavira UNESCO World Heritage Site is a wholesome package with easy access to everything that the destination has to offer. Company has recently opened a new 5-star hotel in Ahmedabad with 76 rooms named Praveg’s Grand Eulogia and a Tent City in Ayodhya with 30 rooms capacity. Company’s upcoming projects includes resorts in Jawai, Udaipur and Ranthambhore in Rajasthan, Adalaj Theme Park in Gujarat, resort in Velavadar, Gujarat, Jalandhar House in Diu, Damanganga Circuit House in Silvassa, Praveg Attol’s lakshwadweep in Agatti Islands, Lakshwadweep and Tent Cities at Ganga Garden and Kachigam in Daman, at Nagoa Beach in Diu, at Kashid and Kihim in Raigadh District and at Ayodhya, Saryu.

In Exhibition and Event Management segment many exhibitions are regularly organized by Praveg, nationally and internationally, and its portfolio includes projects in the USA, China, South Korea, Africa, Europe and in the Middle East. Company has also organized many State events on turnkey basis to the fullest satisfaction of its clients.

Fundamentals (FY23-24):

Financial Results:

Company’s Net Sales was at Rs 32.89 crore in December 2023 up 16.11%, Quarterly Net Profit was at Rs. 8.09 crore in December 2023 down 29.73% and EBITDA stands at Rs. 13.26 crore in December 2023 down 22.64% as compared to December 2022. Company’s EPS has decreased to Rs. 3.55 in December 2023 from Rs. 5.99 in December 2022.

Key Updates:

1. Praveg recently received 3 Work orders for Nagoa Beach at Diu, Jalandhar House at Diu, and Damanganga Circuit House at Silvassa
2. It also received Work order for Developing Tents at Agatti Island, UT of Lakshadweep under Development, Operation, Maintenance and Management basis.  
3. Company recently launched two properties namely Praveg’s Tent City at Ayodhya, Brahmakund, Uttar Pradesh and Beach Resort at Ghoghla Beach, Diu on the auspicious day of Deepavali 2023.
4. Company has also received a Work Order from Department of Tourism, U.T. Administration of Dadra & Nagar Haveli and Daman & Diu for Operation, Maintenance and Management of Jalandhar House, Diu on license basis.
5. It has also received a Work Order from Maharashtra Tourism Development Corporation (MTDC) for set up and operate Tent City at Kihim in Raigad District of Maharashtra.
6. Praveg has also received a Work Order from Maharashtra Tourism Development Corporation (MTDC) to set up and operate Tent City at Kihim in Raigad District of Maharashtra.
7. It has also bagged work order from Department of Tourism, U.T. Administration of Dadra & Nagar Haveli and Daman & Diu for Development and Operation of Damanganga Garden Kachigam, Daman.
8. It has also been selected by Department of Tourism, U.T. Administration of Dadra & Nagar Haveli and Daman & Diu for Development, Operation, Maintenance and Management of Tent City at Nagoa Beach, Diu.

In last 3 Years the stock gave a return of 1,246.64% as compared to the rise of Sensex and Nifty in the same period.

Spiritual tourism in India is on the rise and for the last few years, Indians have chosen religious sites against recreational destinations because of places like Varanasi, Mathura, and Ayodhya received more tourists than destinations like Goa. The government of India’s Pro-Tourism policies have resulted in an unprecedented surge in spiritual tourism in the country and in less than a decade, tourists have opted for religious tours ditching recreational travels which brings PRAVEG in a very good position to enjoy growing stream of revenue in upcoming years. HOSPITALITY Industry in India is currently valued at USD 23.50B in 2023 and it is expected to grow at CAGR of 4.73% to reach USD 29.61B in 2028 and the EVENTS & EXHIBITION Industry in India is currently valued at USD 4.75B in 2023 and it is expected to grow at CAGR of 4.73% to reach USD 8.71B in 2028 and PRAVEG is well poised to enjoy a sweeter part due to growth in both industries. Considering growth in hospitality sector of India with the backing of Government’s push for developing Devotional tourism across India, company’s existing resorts and tent cities along with its upcoming projects in strategic locations across India, huge and diversified clientele, growth of Events and Exhibition industry and company’s long-term experience in all segments, investors can park their funds in this company for mid-term period.

HET ZAVERI​

info@smartinvestment.in

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