Mukul Agrawal, Asha Mukul Agrawal & Ashish Kacholia-backed multibagger railway stock; Board announces 3:5 bonus issue of shares

The Board of Directors of Concord Control Systems Limited (CCSL) held a meeting and recommended a bonus issue of shares. The proposed ratio for the bonus shares is 3:5, meaning that for every five existing fully paid-up equity shares of Rs. 10 each, shareholders will receive three new fully paid-up equity shares of the same face value. This issuance is contingent on approval from the company's shareholders and will be funded by capitalising the company's capital redemption reserve, securities premium, and/or general reserve. The specific record date to determine shareholder eligibility for the bonus shares will be announced by the company at a later time.

Additionally, the company has developed India's first fully indigenous, zero-emission propulsion system for converting diesel locomotives. This innovative system uses Lithium Iron Phosphate (LFP) batteries and a DC chopper-based drive, allowing locomotives to operate only when needed, which significantly reduces fuel consumption and eliminates emissions. By designing and manufacturing key components like the chopper and Vehicle Control Unit (VCU) in-house, CCSL has created a scalable and cost-effective solution that supports India's goal of achieving complete railway electrification by 2030. The system also enhances safety and positions CCSL as a leader in Indian railway technology.

About the Company

Concord Control Systems Ltd, incorporated in 2011, is a key player in the electrical machinery sector, primarily serving Indian Railways. The company is ISO 9001:2015 certified and recognised as an OEM and RDSO-approved manufacturer. Concord's product portfolio spans railway electrification and coaching, including battery chargers, control panels, testing machines, emergency lighting, and fans. The company is transitioning from a product supplier to a solution provider, with ongoing development of a prototype for control and relay panels. Concord operates manufacturing facilities in Lucknow, Bengaluru, and Hyderabad, and serves both government and private clients, including major entities like Rail Coach Factory Kapurthala and Larsen & Toubro. As of H1FY25, Concord's order book stands at Rs 206 crore, reflecting a steady growth trajectory.

On Monday, the shares of Concord Control Systems Limited jumped 3.6 per cent and made a fresh 52-week high of Rs 2,525 per share from its previous closing of Rs 2,438.25 per share. Concord Control Systems Limited has a market capitalisation of over Rs 1,500 crore. 3 ace investors, Mukul Mahavir Agrawal holds 2,40,000 shares or 3.81 per cent stake and Ashish Kacholia hold 76,433 shares or a 1.21 per cent stake in the company. Additionally, Asha Mukul Agrawal (wife of Mukul Mahavir Agrawal) bought 95,542 shares or a 1.52 per cent stake. The stock has given multibagger returns of 160 per cent from its 52-week low of Rs 971.15 per share and a whopping 310 per cent in 2 years. 

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