Home / Business and Economy / Kedia Bets on Exit-Bound Sellers' Stocks
Kedia Bets on Exit-Bound Sellers' Stocks
14 Jul
Summary
- Vijay Kedia purchased shares from exiting promoters.
- He invested in a logistics debutant and a mining equipment maker.
- His strategy involves buying out-of-favor small-cap businesses.
Ace investor Vijay Kedia has taken a contrarian stance by buying shares from exiting promoters in two distinct companies. He acquired stakes in iWare Supplychain Services, a new logistics firm, and Eimco Elecon, a fifty-year-old mining equipment maker. Kedia is known for his strategy of investing in out-of-favor small-cap companies for the long term.
iWare Supplychain Services, a Gujarat-based logistics company incorporated in 2018, recently listed on the NSE SME Platform in May 2026. Kedia, through preferential allotment and Kedia Securities, accumulated a 6% stake as promoter holdings decreased. Despite impressive revenue growth in FY26, the company saw a dip in operating margins and negative cash from operations.
Eimco Elecon, established in 1974, manufactures mining equipment and is nearly debt-free with a significant investment book. Kedia bought a 1.45% stake after a foreign promoter sold its entire 24.68% holding. While the company showed recovery from FY21 to FY25, FY26 saw a decline in revenue and net profit, with modest return on equity.
Kedia's pattern involves buying from selling promoters in niche, under-researched industrial and logistics sectors. While iWare represents a momentum play with risks around valuation and cash flow, Eimco is a value stock facing concerns about low returns and efficient use of its cash pile. Investors are advised to understand Kedia's rationale rather than blindly copy his moves.
