1:1 Rights Issue: Multibagger Penny Stock Under Rs 5 Hit Upper Circuit After Announcing Rights Issue Worth Rs 10,00,00,000
The stock gave multibagger returns of over 100 per cent from its 52-week low of Rs 2 per share.
On Wednesday, shares of Mega Corporation Ltd hit a 5 per cent upper circuit to Rs 4.09 per share from its previous closing of Rs 3.90 per share. The stock’s 52-week high is Rs 5.69 per share and its 52-week low is Rs 2 per share. The shares of the company saw a spurt in volume by more than 1.70 times on BSE.
Mega Corporation Ltd., a company headquartered in South Delhi, India, has recently approved several key decisions regarding a proposed Rights Issue of equity shares. These decisions include determining the issue price, entitlement ratio, and the total number of shares to be issued. Additionally, the company has authorized a committee to finalize the record date, issue timeline, and prepare necessary documents such as the Letter of Offer, Abridged Prospectus, and CAF Application.
The Rights Issue will involve the issuance of up to 10,00,00,000 fully paid-up equity shares with a face value of Re 1 each, at a price of Re 1 per share. Eligible shareholders will be entitled to one Rights Share for every one equity share held on the Record Date. This Rights Issue, if fully subscribed, will increase the total number of outstanding equity shares to 20,00,00,000.
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Earlier, the company unveiled its latest venture, "Lendingo." This new division is specifically designed to finance the burgeoning Electric Vehicle (EV) industry, encompassing EVs, their batteries, rickshaws, and other related projects. By introducing accessible financing options, "Lendingo" aims to accelerate the adoption of electric mobility and contribute to sustainable solutions. This initiative aligns with the company's strategic vision to broaden its financial services portfolio and drive internal growth. Additionally, by extending credit to registered MSMEs involved in the EV sector, "Lendingo" supports the growth of this crucial segment while promoting environmental sustainability.
Mega Corporation Ltd, a prominent Non-Banking Financial Company (NBFC) established in 1985, specializes in providing financial services to both urban and rural India. As a Non-Systemically Important Non-Deposit Taking Non-Banking Financial Company (NBFC-CIC), it offers a range of financing solutions to cater to diverse financial needs, contributing to the economic growth of the country. The company has a market cap of over Rs 40 crore. The stock gave multibagger returns of over 100 per cent from its 52-week low of Rs 2 per share. Investors should keep an eye on this micro-cap stock.
Disclaimer: The article is for informational purposes only and not investment advice.