3:1 Bonus Share & 100 Per Cent Dividend Alert: Footwear Manufacturer to Issue Free Shares & Declare Dividend
The stock gave multibagger returns of over 100 per cent from its 52-week low of Rs 454.75 per share.
RedTape Ltd, a leading footwear and apparel manufacturer, has rewarded its shareholders with both a dividend and a bonus issue. The company announced an interim dividend of Rs 2 per share or 100 per cent, with January 3, 2025, set as the record date for dividend eligibility. Furthermore, RedTape will issue bonus shares to its shareholders in a 3:1 ratio, meaning shareholders will receive three bonus shares for every share they hold as of the record date, which is yet to be announced.
This marks the first instance of the company declaring a bonus issue or any dividend since its listing on stock exchanges in August 2023. The listing followed the company's demerger from its parent company, Mirza International, which was approved by the NCLT in February 2023. RedTape, which contributed approximately 55 per cent of Mirza International's overall sales prior to the demerger, has seen its shareholders rewarded for their investment. The Mirza family, who were the promoters of Mirza International, continue to hold a significant stake in RedTape, owning around 71 per cent of the company's shares.
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India's trusted leading Fashion & Lifestyle brand with over 435+ opulent stores across PAN India. RedTape is known for emerging as one of the finest brands of footwear and clothing for men, women and kids. It has emerged as a complete family fashion destination by providing the best international styles and world-class quality through shoes, apparel and accessories for all age groups.
The company has a market cap of over Rs 12,000 crore with an ROE of 31 per cent and an ROCE of 30 per cent. The stock gave multibagger returns of over 100 per cent from its 52-week low of Rs 454.75 per share. Investors should keep an eye on this footwear stock.
Disclaimer: The article is for informational purposes only and not investment advice.