Rs 2,000 Crore Order Book & FIIs Increase Stake: Solar Pumps Manufacturer Stock Hit Upper Circuit As Board Is Likely To Announce 5:1 Bonus Shares

The stock gave multibagger returns of 225 per cent in just 6 months; 425 per cent in 1 year and a whopping 1,500 per cent in 5 years.

Shakti Pumps (India) Limited (SPIL) informed that the Meeting of the Board of Directors of the company scheduled to be held on Monday, October 7, 2024, through video conferencing, inter alia: -

1. To consider the proposal for an increase in the authorized share capital of the company and alter/amend the Memorandum of Association (MOA) of the company to such amount as may be determined by the board of directors, subject to the approval of shareholders of the company.
2. To consider the proposal for the issue of bonus shares in the ratio of 5:1 i.e., 5 new fully paid up equity shares of Rs 10 each for every 1 existing fully paid up equity share of Rs 10 to the equity shareholders of the company subject to the approval of shareholders of the company.
3. To consider the proposal of appointment of Mr. Ramakrishna Sataluri (DIN: 08903553) as an Additional cum Non-Executive Non-Independent Director of the Company subject to the approval of Shareholders of the Company.
4. To consider and approve draft notice of Postal ballot in respect of the aforesaid proposals of increase in authorized share capital, Bonus issue and appointment of Non-Executive Non-Independent Director of the Company, as required.

On Tuesday, shares of Shakti Pumps (India) Limited (SPIL) were locked in a 5 per cent upper circuit to Rs 4,510.20 per share from its previous closing of Rs 4,295.45. The stock’s 52-week high is Rs 5,089.30 and its 52-week low is Rs 843.85. The stock gave multibagger returns of over 400 per cent from its 52-week low of Rs 843.85 per share.

Shakti Pumps, a leading Indian manufacturer of pumps and motors for various applications like irrigation and domestic water supply, has been at the forefront of innovation with its well-regarded "Shakti" brand. Founded in 1982, they specialize in energy-efficient pumps including solar options and manufacture a wide range of components in-house for complete solar pump solutions. Committed to sustainability and transforming agriculture, Shakti Pumps exports its products to over 100 countries and is India's first 5-star rated pump manufacturer.

The company has a market cap of over Rs 9,000 crore and as of June 30, 2024, the company has an unexecuted order book of Rs 2,000 crore. As of June 2024, FIIs increased their stake to 2.32 per cent compared to 0.77 per cent in March 2024. The stock gave multibagger returns of 225 per cent in just 6 months; 425 per cent in 1 year and a whopping 1,500 per cent in 5 years. Investors should keep an eye on this stock.

Disclaimer: The article is for informational purposes only and not investment advice.