After 1:1 Bonus Issue, Small Cap Co Plans Mega Capacity Expansion In Maharashtra

Small cap company JTL Industries shares gained 0.25% to 238.90 per share in trade today. Earlier, JTL Industries issued a BSE filing on December 19 announcing its plans of mega capacity expansion in Maharashtra. As per the filing, "JTL, through its wholly owned subsidiary JTL Tubes Limited, is embarking on a groundbreaking journey with the establishment of a mega capacity augmentation project in Maharashtra."

In order to finance this ambitious project, JTL is set to raise Rs. 13,100 Mn through various routes, including but not limited to Qualified Institutional Placement (QIP). This infusion of funds will be orchestrated from both promoter and non-promoter groups. Of the overall fundraising, the promoter and promoter group is committed to contributing Rs. 5,400 Mn, while the public, non-promoter group will play a pivotal role with the contribution of Rs. 2,700 Mn. The remaining Rs. 5,000 Mn will be garnered through the QIP route.

Commenting on the development, the management team of JTL stated, ""We are thrilled to announce our strategic decision to establish a mega capacity expansion project in Maharashtra through our subsidiary, JTL Tubes Limited, with a substantial capex outlay."

JTL Industries Stock Performance & Return: Last trading price of JTL Industries share on BSE is Rs 238.90 per share. Its 52-week high price is Rs 252.75 per share and 52-week low price is Rs 141.28 per share, respectively. The company has a market capitalisation of Rs 4076.43 crore. JTL Industries shares gained 46% in last 6-months, soared 51% year-to-date, offered return of 54% in last 1-year, and surged 111% in last 2-years. In last 3-years, JTL Industries shares gained 1351% and rose 1935% in last 5-years.

JTL Industries Financials: The iron and steel products company announced a 37.21% surge in its revenue for the quarter ended September 2023 to Rs 502.10 crore as against Rs 365.92 crore declared in the corresponding quarter of last year. The company's profit surged 33.54% to Rs 27.91 crore in Q2 as against Rs 20.90 crore declared in 2022.

JTL Industries Traded 1:1 Ex-Bonus: JTL Industries shares traded ex-bonus on According to the BSE filing of JTL Industries dated August 21, 2023, "Pursuant to Regulation 42 of SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015, this is to inform that the Company fixed Thursday, the 07th day of September, 2023 as the Record Date for the purpose of ascertaining the eligibility of shareholders for issuance of bonus shares in the ratio of 1:1 i.e. one new bonus equity share of Rs. 2/- each for every one existing equity share of Rs. 2/- each held subject to the approval of shareholders in the ensuing 32nd Annual General Meeting of the company to be held on 30th August, 2023."

JTL Industries About: JTL Industries Limited produces and exports galvanized steel tubes and pipes as well as heavy structural steel and hollow sections. JTL Industries is one the largest producer of Electric Resistance Welded (ERW) steel pipes including one of the largest section pipe & tube manufacturers in India, with a capacity to produce more than 6 Lakh Metric Tonnes per annum. It caters extensively to the region and exports to various countries globally. The company's vast distribution network is spread across India, having branch offices in Delhi, Mumbai & Chandigarh, making it one of the leading GI pipe manufacturers in India, according to its official website.

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The stock just highlights mega capacity expansion plan and is not a recommendation to buy, sell or hold. We have not done fundamental or technical analysis and have no opinion on the stock mentioned. Neither, the author nor Greynium Information Technologies should be held liable for any losses. Please consult a professional advisor.