2:5 Stock Split: Small Cap Multibagger Stock Acquires Stake in Rishiraj Infravision

With a market capitalization of 394Cr, Global Education Limited (GEL) has now taken a bold step toward diversification by acquiring a 28.23% stake in Rishiraj Infravision Private Limited, a budding player in the commercial real estate sector. This strategic acquisition came into effect on November 29, 2024.

Stock Split and Share Capital Restructuring

In addition to the acquisition, GEL has announced a stock split, subdividing its equity shares from a face value of Rs. 5 to Rs. 2 each. This will result in the issuance of two equity shares for every existing one. The company's Memorandum of Association will also be updated to reflect the revised share capital structure. While the authorized share capital remains at Rs. 12 crore, it will now comprise 5,975,000 equity shares of Rs. 2 each and 5,000 redeemable preference shares of Rs. 1 each. The record date for this stock split is set for December 10, 2024.

GEL Share Movement:

Global Education Ltd. (GEL) opened in the green today, with its stock rising by 0.67% to ₹197.65. Over the past five days, the stock has surged by 8%, and in the last month, it has seen a significant increase of 11.21%. However, the six-month performance has been marked by volatility, with frequent fluctuations, but overall, the stock has gained 4.23%.
Year-to-date, the stock's performance has been disappointing, with a 33% decline in value. A similar trend has been observed in the past year, where stock prices have dropped consistently. On a positive note, the stock has delivered impressive returns over the last five years, soaring by 549%, rewarding its investors with multibagger profits.
The stock has traded at a 52-week high of ₹382 and a 52-week low of ₹163.83.

GEL Financial Performance

In Q2FY25, total income rose by 68.6% to ₹25.66 crore, while net profit increased by 50.9% to ₹10.65 crore over Q1FY25 as reported by the Dalal Street Journal. While in Hy25, total income grew by 6.5% to ₹40.88 crore, although net profit dipped by 8.8% to ₹17.75 crore compared to H1FY24.

About Global Education Limited

Established in 2011, GEL is a comprehensive educational service provider and consultancy firm, offering a range of services to educational institutions, corporations, and banks. From business management consulting and skill development programs to infrastructure support and online examinations, GEL is a one-stop solution for educational needs.

About Rishiraj Infravision:

Incorporated in 2024, Rishiraj Infravision is a fresh face in the commercial real estate industry. Specializing in the purchase, sale, and development of real estate properties, including residential complexes, the company has already set its sights on making a mark. This acquisition aligns with GEL's vision to broaden its business operations and tap into the lucrative real estate market.