Bonus shares: Small-cap multi-bagger Sampre Nutritions Ltd. has given its investors a significant gift. For the first time, the company has announced a bonus share issuance and a stock split. This Hyderabad-based company operates in the nutrition and health segment and has consistently delivered impressive returns to investors.
In a filing with the exchange, the company stated that it will award its shareholders one bonus share for every share held. This bonus share will be available on shares with a face value of ₹10. The record date for receiving the bonus shares has not yet been determined, but the company has indicated that the entire process will be completed within the next two to three months.
A ₹10 share will now be split into two parts.
Along with the bonus shares, the company has also announced a stock split. Currently, the face value of each share is ₹10. This share will be split into two parts, reducing the new face value to ₹5 per share. The company believes this move will increase the liquidity of the stock and allow more retail investors to participate.
Capital Doubled in Three Months
Following the announcement, Sampre Nutritions shares closed in the upper circuit on the BSE on Friday. The stock price rose 2% to ₹105.61. This is the same stock that has more than doubled investors’ capital in the past three months.
In the past month alone, it has returned approximately 54%. Meanwhile, the stock price has risen 252% in three months. Over the six months, the company has given positional investors a profit of 315%.
A Journey from Low to High
In the past year, this stock has gained approximately 32%. Long-term investors have proven to be the biggest winners. Over the past five years, Sampre Nutrition’s shares have returned 838%.
The company’s 52-week high is ₹105.61, while its 52-week low is ₹20.90. The stock closed at an all-time high on Friday. The company’s market cap currently stands at ₹221.85 crore.
Retail Investors Hold a Large Stake
As per the June quarter shareholding pattern, the public, i.e., small and retail investors, held 87.89% of the company’s holdings. This data indicates that investors are reposing faith in the company and are staying invested for the long term.
What’s Next?
The dual announcement of bonus shares and a stock split has further fueled investor enthusiasm. Market experts believe that such corporate actions not only benefit existing shareholders but also make it easier for new investors to purchase the company’s shares.
However, experts also caution that small-cap stocks can be highly volatile. After a sustained rally, they can experience short-term fluctuations. Nevertheless, Sampre Nutritions has become one of the most talked-about names in the small-cap space, and everyone in the market is keenly watching its record date.