3:1 Bonus Share Stock: Record Date Fixed; A Winning Bet For Smart Investors?

RedTape is renowned as one of the best clothing and footwear brands for women, men, and children. The company's worldwide reach extends to 17 countries on six continents. It is one of the leading footwear brands, dominating the market. India, the United Kingdom, the United States, Australia, Turkey, the United Arab Emirates, France, Germany, West Asia, and South Africa are among the specialised areas where the brand has established a significant presence. After the business announced the record date for 3:1 bonus shares, Redtape's shares closed Friday's trading session on the BSE 0.02% higher at Rs 741.45, with a market capitalisation of Rs 10,246.98 Cr.

RedTape Bonus Shares Record Date

"With reference to the captioned subject, and pursuant to the provisions of Regulation 42 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, we wish to inform that the Company has fixed the "Record Date" as Tuesday, 04th February 2025 (T Day). Further in Compliance with SEBI CIR/CFD/POD/2024/122 dated September 16, 2024, we wish to inform you that the deemed date of allotment, of 41,46,05,700 Bonus Shares of Re. 2/- each in the proportion of 3:1 i.e. 3 new fully paid up equity share of Re. 2/- each for every 1 existing fully paid-up equity share of Re. 2/- each to the eligible shareholders as on the record date, would be. Wednesday. February 05th, 2025 (T+1)," said RedTape in a stock exchange filing.

RedTape Bonus Issue Update

"We further undertake to submit the requisite documents to the depository for credit of bonus shares in the depository system latest by 12 P.M. on February 05th, 2025 and will ensure that the shares allotted pursuant to the bonus issue shall be made available for trading on the next working date of allotment (T+2 day) i.e. by Thursday, 6th February, 2025. We request you to kindly take this on your record and issue notification in this regard accepting the record date and notifying the number of shares considered in the bonus issue," RedTape informed stock exchanges.

RedTape Financials

The company's net sales for the September 2024 quarter were Rs 415.80 crore, rising 28.05% from the September 2023 quarter's Rs 324.71 crore. In Q2FY25, its net profit was Rs. 25.07 crore, a 9.63% drop from Q2FY24's Rs. 27.74 crore. EBITDA for the September 2024 quarter was Rs. 67.43 crore, growing 12.31% from Rs. 60.04 crore for the September 2023 quarter. For the quarter that ended in December 2024 or Q3FY25, the footwear company has not yet released its financial results.

RedTape Share Price Target

"Redtape stock price is bearish on the Daily charts with strong resistance at 779. A Daily close below support of 738 could lead to a target of 703 in the near term," suggested A R Ramachandran, Independent Research Analyst.

Disclaimer

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