Elcid Investments Ltd., a registered NBFC categorized as an investment company, has witnessed a remarkable surge in its share price, catching the attention of the stock market. Trading at an astounding ₹2.73 lakh per share, the stock hit its 5% upper circuit on November 4, despite broader market declines.
This sudden escalation follows Elcid Investments’ surpassing of MRF Ltd. to become India’s most expensive stock. The surge occurred after BSE’s auction for price discovery of investment holding companies, where Elcid’s stock price jumped from ₹3.53 to ₹2,36,250 in one session—a staggering increase of 66,92,535%.
Elcid Investments remains significantly undervalued in relation to its book value, which, as per Screener, stands at ₹5.84 lakh per share. The company’s rise aligns with SEBI’s recent regulatory changes aimed at improving price discovery for Investment Companies (ICs) and Investment Holding Companies (IHCs). SEBI introduced a “special call auction with no price bands” framework to ensure fair valuation and increased investor interest, acknowledging that many ICs and IHCs trade well below their book values.
Elcid Investments holds substantial stakes in large companies, including Asian Paints, though it operates without its own business operations, functioning solely as a holding entity.
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