1:8 Bonus Shares, 1:5 Stock Split: Record Date In Due Course of Time; BUY/SELL?

In the state of West Bengal, Sellwin Traders Limited (STL) was established on September 29, 1980, in accordance with the Companies Act of 1956. The company's primary business operations have been providing services linked to real estate and properties, investing and trading in shares and securities, making real estate investments, and offering consulting services in various fields. The firm does not currently have any outstanding warrants, debentures, or other securities. The firm does not currently have any subsidiaries, and it has never issued a dividend to its shareholders. Sellwin Traders has, however, announced bonus shares and a stock split for the first time; the specifics are discussed below.

Sellwin Traders Stock Split

The Board of Directors at their meeting held on 25th September, 2024 has considered sub-division of 1 (One) equity share of face value of Rs.10/-(Rupees Ten only) each fully paid-up to 5 (Five) equity shares of the face value of Rs.2/- (Rupee Two only) each fully paid-up.

The stock split's purpose is to improve the liquidity of the company's equity shares in the stock market and to make the shares more affordable to small investors, as per Sellwin Traders.

As per a stock exchange filing the record date for the purpose of the same the record date will be declared in due course of time.

Sellwin Traders Bonus Shares

"The Board has approved the issue of Bonus shares out of Free Reserves and Security Premium Account to the existing equity shareholders at the ratio 01:08 (One new fully paid-up Equity Share of Rs.2/- (Rupees Two only) each for every 8 (Eight) existing fully paid-up Equity Share of Rs.2/- each (Rupees Two only) subject to approval of shareholders and regulatory authorities. The Bonus Shares once allotted shall rank pari-passu in all respects and carry the same rights as the existing Equity Shares. The Company will intimate the Record Date for the proposed of Bonus issue in due course of time," said Sellwin Traders in a regulatory filing on Wednesday.

Sellwin Traders Financials

In the June 2024 quarter, the firm reported revenue from operations of Rs 10.77 crore, up 7.38% from Rs 10.03 crore in the June 2023 quarter. Its net profit increased 85.46% from Rs. 0.33 crore in Q1FY24 to Rs. 0.62 crore in Q1FY25. EBITDA climbed by 75.56% from Rs. 0.45 crore in the June 2023 quarter to Rs. 0.79 crore in the June 2024 quarter. From Rs. 0.41 in June 2023 to Rs. 0.30 in June 2024, Sellwin Traders' EPS has dropped.

Sellwin Traders Share Price Target

"Sellwin Traders stock price is bearish on the Daily charts with strong resistance at 29. A Daily close below support of 26 could lead to a target of 21.5 in the near term, predicted A R Ramachandran, Independent Research Analyst.

Disclaimer

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