2:1 Bonus Share: Multibagger Electrical Equipment Stock Jumps Over 10% After Announcing Capacity Expansion; Details Inside

DSIJ Intelligence-1 / 18 Sep 2025/ Categories: Multibaggers, Trending

2:1 Bonus Share: Multibagger Electrical Equipment Stock Jumps Over 10% After Announcing Capacity Expansion; Details Inside

The stock gave multibagger returns of 355 per cent in 2 years and a whopping 9,400 per cent in 5 years.

On Wednesday, shares of Shilchar Technologies jumped over 10 per cent to Rs 4,929 per share from its previous closing of Rs 4,460.50 per share. The stock’s 52-week high is Rs 6,125 per share and its 52-week low is Rs 2,805.40 per share. The shares of the company saw a spurt in volume by more than 3 times on the BSE.

Shilchar Technologies Limited has announced a significant capacity expansion at its existing plant in Gavasad, Vadodara, Gujarat, in compliance with SEBI regulations. The company, which is currently operating at 100 per cent capacity utilisation of its 7500 MVA plant, plans to add 6500 MVA of capacity. This expansion is driven by the need to meet growing customer demand. The project will require an investment of approximately Rs 90 crore and will be financed entirely through internal funds. The company aims to complete the capacity addition by April 2027.

The company’s shares have an ex-traded bonus issue of equity shares in the ratio of 1 new share for every 2 existing shares held, with a face value of Rs 10 each, for shareholders on the record date, utilising the company's free reserves. The ex-date for bonus shares was Friday, June 05, 2025, as the record date.

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Shilchar Technologies Ltd is an Indian manufacturer specialising in transformers, catering to both the Electronics & Telecom and Power & Distribution sectors. Their established product portfolio includes a wide range of power and distribution transformers, with distribution units ranging from 5 KVA to 3,000 KVA and power transformers spanning 3 MVA to 15 MVA, positioning them as a significant player in the Indian transformer market. Notably, the company has recently expanded its operations to include the manufacturing of Ferrite transformers, indicating a strategic move towards diversifying its product offerings and potentially entering new market segments within the electronics industry.

The company has a market cap of over Rs 5,500 crore with an ROE of 53 per cent and an ROCE of 71 per cent. The stock gave multibagger returns of 355 per cent in 2 years and a whopping 9,400 per cent in 5 years.

Disclaimer: The article is for informational purposes only and not investment advice.