3 Bonus On 5 Existing Shares: Rs 100 IT Penny Stock Nears 1-Yr High After Big Bonus Update; Gives 171% Returns

Titan Intech, a penny stock in the IT-enabled services sector, crossed the Rs 100 mark after its big bonus announcements. The stock has been rallying since then and on Monday was a little over Rs 5 away from hitting a new 52-week high. The stock price will see demand ahead of its 3:5 bonus issue.

Titan Intech Share Price:

The stock price is currently trading at Rs 104.50 apiece, up by 3% on BSE with a market cap of Rs 114.89 crore. This is the second consecutive upside in Titan Intech.

The stock performs near its 52-week high of Rs 110.05 apiece. While it is trading higher by nearly 171% from its 52-week low of Rs 38.60 apiece, making it a multi-bagger.

Titan Intech Bonus Issue:

Last week, the company received the board of directors' approval for the issuance of bonus shares in the ratio of 3:5.

As per the regulatory filing, it means that the company will issue 3 (Three) Bonus Shares for every 5 (Five) Equity Shares held by the Equity Shareholders of the Company as of 'Record Date'. The Bonus Issue of Equity Shares is subject to the approval of the shareholders and other applicable statutory and regulatory approvals, as may be required. The Company will intimate the 'Record Date' for determining eligible Shareholders entitled to receive bonus shares, in due course of time.

Also, the regulatory filing said that it is to be stated that the Company has 89,01,000 (Eighty Nine Lacs one thousand) outstanding convertible warrants. The said warrant holders shall also be eligible for the bonus issue of equity shares post-conversion of such warrants into Equity Shares.

The Bonus Shares once allotted shall rank pari-passu in all respects and carry the same rights as the existing Equity Shares and shall be entitled to participate in full in any dividend and either corporate action(s), recommended and declared after the issue and allotment of such Bonus Shares, it added.

Titan Intech's Share Capital:

Further, the company received approval for an increase in the authorised share capital of the Company from the existing 23,00,00,000, comprising of 2,30,00,000 equity shares of Rs. 10/- each to Rs. 35,00,00,000/- comprising of 3,50,00,000 equity shares of Rs. 10/-. To reflect the proposed change in Authorised Share Capital, the Board proposed consequential alteration in Clause V i.e. Capital Clause of Memorandum of Association.

Titan Intech Allotment Of Shares:

Additionally, the company will also allot equity shares on conversion of convertible warrants into equities. The beneficiaries are B Sheshagiri Rao who will receive 3,45,000 equity shares post conversion of warrants, Kavita Ramesh Kuwad and Dilip Keshrimal Sanklecha with 1,05,000 equity shares each post conversion. Together, the company is allotting 5,55,000 equity shares after warrant conversion.

About Titan Intech:

Titan Intect Limited - Founded in 1984, Titan Intech embarked on a journey to digitally transform businesses. The company's international solution architects, backed by years of experience and proven strategies, offer services that prioritize performance and scalability. The company is committed to delivering the highest quality and security for its clients' IT infrastructure and business data. Also, the company is foraying into setting up of state of art Data Centers in India.