Kitex Garments stock surged to its 5% upper circuit limit after the company announced a 2:1 bonus share allotment. The stock has delivered multibagger returns of over 500% in five years.
Kitex Garments Ltd, a leading manufacturer of infant apparel and garments, has seen its stock hit the 5% upper circuit limit after the company allotted 13.3 crore bonus shares to its eligible shareholders. The bonus shares were issued in a 2:1 ratio, meaning shareholders received two new fully paid-up shares for every existing share held, with a record date of January 17, 2025.
Following the bonus issue, Kitex Garments’ paid-up equity share capital increased to ₹19.95 crore, divided into 19.95 crore equity shares of ₹1 each. The shares, now priced at ₹256.35 apiece, have rallied significantly, offering a boost to shareholders. The stock price has surged over 10% in January 2025 alone and gained more than 51% in the last three months.
The bonus shares allotted will carry the same rights as the existing equity shares, including dividends and corporate benefits declared by the company. Kitex Garments has seen impressive returns in recent years, with the stock skyrocketing over 500% in the past five years.
This milestone comes after a period of solid growth for the company, which has recently posted strong returns, making it a top pick for investors. The company specializes in manufacturing high-quality baby garments and exports to international markets, reinforcing its position as a key player in the Indian textile sector.
With a multibagger return of more than 250% in just three months, Kitex Garments continues to be a standout performer in the small-cap stock category, with its recent gains reflecting strong market confidence and the effectiveness of its growth strategy.
