Multibagger Stock Approves Dividend & 1:10 Stock Split, Up 300% In 3 Years

Edible oil company BCL Industries has announced that the Board of Directors of the company has approved dividend and sub-division of equity shares.

BCL Industries is into diversified businesses. Its board has approved a proposal to split its shares in the proportion of 1:10 and also distribute a dividend of Rs 5.

"The board approved splitting the face value of shares from Rs 10 to Re 1 per share, subject to the approval of the shareholders and other statutory approvals," the company said in a filing.

The record date for the proposed stock split and dividend distribution will be intimated in due course.

BCL Industries is a part of the Mittal Group. Its shares have given a multibagger return of 957 per cent in the last three years and 44 per cent in a year. The company has a market capitalisation of Rs 1,245 crore.

A stock split is usually done to increase the liquidity of the stock in the market whereas a dividend is paid to shareholders as a reward for their investment in the company.

In the fourth quarter of FY23 (January-March), the company reported a consolidated net profit of Rs 24.23 crore. Its revenue from operations stood at Rs 456.96 crore. The company's net profit stood at Rs 67.58 crore in the entire year 2022-23.