Double Bonus Move In 2025: Multibagger Textile Stock To Issue 2:3 Shares Following January’s 1:1

The company has a market cap of Rs 122 crore and the stock gave multibagger returns of 884 per cent from its 52-week low of Rs 16.01 per share.

Padam Cotton Yarns Ltd has approved a bonus issue of equity shares in the ratio of 2:3, meaning two bonus shares for every three existing shares. This will result in the issuance of approximately 5,164,000 equity shares with a face value of Rs. 10 each, sourced from free reserves created out of profits. The bonus issue will increase the company's paid-up share capital from Rs 7,74,60,000 to Rs 12,91,00,000. The required Rs 5,16,40,000 will be capitalized from free reserves and surplus, which stood at Rs 642.31 lakh as of December 31, 2024

Earlier, the company ex-traded a 1:1 bonus issue, meaning shareholders will receive one additional equity share for every one share they currently hold. This will double the company's outstanding shares from 38,73,000 to 77,46,000 while maintaining the same total equity value of Rs 7,74,60,000. The record date for bonus shares was Wednesday, January 08, 2025.

Padam Cotton Yarns Ltd., established in 1994, is a company specializing in the production of cotton yarn and consulting services. Their primary product is Tow Dyed, Bulked Acrylic Yarn, manufactured using advanced Tow-based technology sourced from Japan Exlan. Beyond yarn production, the company offers valuable consultation services to the textile industry and engages in wholesale trading of agricultural pumping sets and implements.

On Monday, shares of Padam Cotton Yarns Ltd plunged 0.22 per cent to Rs 157.50 per share from its previous closing of Rs 157.85 per share. The company has a market cap of Rs 122 crore and the stock gave multibagger returns of 884 per cent from its 52-week low of Rs 16.01 per share. Investors should keep an eye on this textile stock.

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