1370% Returns In 3 Yrs: Small Cap Company To Reward Shareholders Third Time In Seven Years Soon, Check Details

Small cap multi-bagger stock below Rs 50, Rama Steel Tubes traded in the green on Wednesday (Jan 24) after the company approved the issuance of two bonus shares for each share owned by its shareholders, marking the third instance of such approval in past seven years. Earlier, the company had sanctioned the issuance of four bonus shares for each share in March 2016 and an additional four free shares per share in January of the preceding year. Rama Steel Tubes shares were up 1.74% at Rs 46.22 per share at 3:25 pm IST. Before this on Jan 23, the stock traded at a new 52 Week High value of Rs 50.50.

In an exchange filing on January 24, 2024, the company said, "Issue of Bonus Shares in the proportion of 2: 1 i.e. 2 (Two) fully paid-up bonus equity share of Rs.l- (Rupees One only) each for every 1 (One) fully paid-up equity share of Rs.1- (Rupees One only) each held by the Members of the Company as on the Record Date, subject to approval of Members of the Company through Postal Ballot."
The record date for the bonus share issuance will be determined in due course, as stated in the company's filing to the exchange. The company's board has also approved the increase in authorized share capital from Rs 55 crore to Rs 200 crore.

Rama Steel Tubes share price performance:
The share price of Rama Steel Tubes has gained 31.43% in the last three months, while the stock has gained 21.82% in last one year. The last two-year, 3-year, and 5-year returns from the stock have increased 213.87%, 1370.38%, and 1037.19% respectively.

Bonus history for Rama Steel Tubes Ltd.
Ahead of today's announcement on the issue of Bonus Shares in the proportion of 2: 1, Rama Steel Tubes Ltd. gave 2 bonuses since March 14, 2016. The last Bonus that Rama Steel Tubes Ltd. announced was in the ratio 4:1 with ex-date of Jan. 6, 2023.

About Rama Steel Tubes Ltd:
"Rama Steel Tubes Limited" was incorporated in the year 1974 in Delhi. Under the dynamic leadership of great visionary Sh. Harbanslal bansal, founder and promoter with vast experience of over five decades in the industry of Steel Pipes and Tubes. With its 20% export rate, the company has a global presence in the Countries like the United Kingdom, UAE, Sri Lanka, Ethiopia, Kenya, Uganda, Ghana, Kuwait, Republic of Congo, Yemen, Guyana, Germany, USA, South Africa, Zambia, and Malta, etc. being its prime markets.