Multibagger stock grew 6 times in 15 months, stock split announced

 

• The multibagger stock has announced a stock split in the ratio of 1:5

Stock Split 2022: The board of directors of small-cap company Servotech Power Systems Limited has considered and approved a stock split in the ratio of 1:5. In its latest communication with the Indian market, the inverter maker said that the company board has approved stock subdivision of one equity share with face value of ₹10 into equity shares with face value of ₹2 each.

Informing the Indian Exchange about the decision of Stock Split, Servotech Power Systems Limited said, "The Board of Directors of Servotech Power Systems Limited (the "Company"), on the recommendation of its sub-committees, has decided to hold a meeting on December 7, 2022 The meeting inter alia considered, approved and took on record the sub-division (split) of equity share of the company of face value of Rs.1 into one (1) equity share of face value of Rs. 10 each (fully paid). 2/- each (fully paid)."


Shares of Servotech Power Systems Limited are one of the multibagger stocks that the Indian stock market has created in the last one year. NSE SME stock is not only one of the multibagger stocks in India, but it is also one of the multibagger IPOs. The NSE SME stock was launched in 2017 at ₹31 per share and today the multibagger SME stock is trading at ₹162 per equity share, which is almost 5 times of its issue price. Hence, SME Stock has given tremendous returns to its IPO allottees, including those shareholders who failed to receive shares of the company during the allotment process.

The SME stock was listed on the NSE SME exchange at par, but post listing, the stock has given handsome returns to its investors. Had an IPO investor stayed invested in this SME stock till the allotment of shares, his ₹1.24 lakh would have become ₹6.34 lakh today, giving IPO investors a return of over 400 percent in the last five years.

The small-cap company was in news last month for bagging an order from Bharat Petroleum Corporation Limited (BPCL) worth ₹46.2 crore. The EV charging solutions company was awarded a major project by Bharat Petroleum Corporation Limited (BPCL) to supply and install 800 units of DC Fast EV Chargers at various locations across the country over the next four months.