Penny Stocks from the 2007-2008 Stock Market Crisis; Set to Announce Bonus Shares: Would you benefit?

Do you own any of these penny stocks in your portfolio?

The 2007-2008 global financial crisis hit the Indian stock market hard. During this period, the BSE Sensex and NSE Nifty saw huge drops, falling by about 52 per cent and 54 per cent, respectively. This crash led to significant losses for investors and widespread panic. The crisis exposed weaknesses in India's financial system, which required urgent reforms. Despite the turmoil, India's economy showed resilience and eventually bounced back, setting the stage for future growth.

Among the many stocks affected by the crisis, two Penny Stocks—Classic Electricals Limited and Shikhar Leasing & Trading Limited—are now making headlines. These stocks, which were last traded during the crisis at Rs 15.50 per cent and 3.15 per share, respectively, are back in focus with important announcements that could offer new opportunities for investors.

Classic Electricals Limited: Issuing Bonus Shares

Classic Electricals Limited is planning a board meeting on August 13, 2024. The meeting will discuss issuing bonus equity shares to public shareholders, with the company's promoters giving up their share entitlements to meet SEBI's requirement of having at least 25 per cent public shareholding. This move aims to increase public confidence and improve market liquidity. The company's trading window will be closed until August 15, 2024, in line with insider trading regulations.

Classic Electricals Limited, a Mumbai-based company established in 1985, specializes in manufacturing a wide range of electrical products. Their core business involves producing switch plates and boxes using various plastic materials. The company's product portfolio extends to encompass a comprehensive array of electrical goods, accessories and components, including switches, sockets, plugs, lighting fixtures, wiring accessories and more, catering to diverse electrical needs and applications.

Shikhar Leasing & Trading Limited: Issuing Bonus Shares

Shikhar Leasing & Trading Limited is also holding a board meeting on August 13, 2024, with a similar agenda. The company plans to issue bonus equity shares to public shareholders while the promoters forego their entitlements to comply with SEBI's public shareholding rules. Like Classic Electricals, Shikhar Leasing's trading window is closed until August 15, 2024, due to insider trading regulations.

Shikhar Leasing & Trading Limited is a multi-faceted enterprise engaged in the trading, wholesaling, and retailing of a vast array of textiles, including wool, cotton, jute, silk and synthetic fibers. It also deals in furnishing fabrics, dyes, chemicals, paper, electrical goods and other products as determined by the company. Additionally, the company offers financial services such as investment, leasing, and hire purchase, along with the purchase, sale and leasing of various assets including real estate, machinery, equipment and vehicles. The company's operations extend to providing leasing advisory services and acting as a leasing arm for other entities.

Do you own any of these penny stocks in your portfolio? Do let us know in the comments below

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