This penny stock Taparia Tools declares ₹77.50/share dividend and 4:1 bonus share with ex-dividend trading on June 26

On May 30, 2023, the board of directors of Taparia Tools Ltd, a penny stock priced below ₹12 per share, proposed an exceptionally high final dividend of ₹77.50/- (775%) per Equity share. The stock will begin trading ex-dividend on June 26, 2023. Furthermore, on June 19, Taparia Tools announced that July 11, 2023, will be the record date for the issuance of bonus shares in a ratio of 4:1. The last trading price of Taparia Tools shares was ₹11.57 per share. Notably, the shares of Taparia Tools also experienced an upper circuit limit on June 23, 2023.

According to the official submission by Taparia Tools to the regulatory authorities, the company has designated July 11, 2023, as the "Record Date" in accordance with Regulation 42 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. This date will determine which shareholders are eligible to receive Bonus Equity Shares from the company. The distribution ratio for these shares is 4:1, meaning that for every existing equity share held, shareholders will receive four fully paid-up equity shares. However, this issuance is subject to the approval of the shareholders.

The company has a free-float of approximately 30.35 lakh shares, with around 70% held by promoters and the rest by promoters' companies and relatives, as reported by Zee Business channel. This indicates that almost 94% of the shares are owned by promoters.

In the December 2022 quarter, Taparia Tools reported net sales of ₹193.32 crore, representing a 2.37% increase compared to the same period in the previous year. The company's net profit for the quarter amounted to ₹19.29 crore, up from ₹18.10 crore in the corresponding quarter of the previous fiscal year.

Overall, the company has a strong foundation with its quality products, brand reputation, network, leadership, and employees. It is well-positioned to capitalize on global market demand, technology advancements, and the digitization of business processes. The informative programs offered by the company also contribute to its readiness to adapt to market changes and advancements