1:5 stock split: Multibagger IT stock under Rs 150; Board approved allotment of 11,26,580 equity shares on conversion of FCCBs!
DSIJ Intelligence-1Categories: Multibaggers, Trending
The stock is up 42 per cent from its 52-week low of Rs 95.05 per share and a whopping 798 per cent in 5 years.
On Friday, shares of Kellton Tech Solutions Limited gained 4.62 per cent to Rs 134.65 per share from its previous closing of Rs 128.71 per share. The stock’s 52-week high is Rs 184.30 per share and its 52-week low is Rs 95.01 per share.
Kellton Tech Solutions Limited's Security Issuance Committee approved the allotment of 11,26,580 equity shares with a face value of Rs 5 each on July 4, 2025. These shares were issued against the conversion of Foreign Currency Convertible Bonds (FCCBs) at an issue price of Rs 106 per share, including a premium of Rs 101. Following this partial conversion, the company's paid-up equity share capital has increased from Rs 48,75,69,670 (9,75,13,934 shares) to Rs 49,32,02,570 (9,86,40,514 shares). The newly allotted shares are identical in all respects to existing equity shares and rank pari passu from the allotment date, having received in-principle approval from BSE and NSE on February 20, 2025.
Additionally, the Board recommended a 1:5 stock split, subdividing each Rs 5 face value share into five Re 1 face value shares. This split aims to increase liquidity and attract retail investors. Both proposals are subject to shareholder and regulatory approval, with the stock split expected to be completed within three months post-approval.
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About the Company
Kellton is a global technology consulting and IT services company founded on the belief of exploring ‘Infinite Possibilities with Technology.’ Kellton helps businesses of all sizes, ranging from startups to SMEs and Fortune 500s, build disruptive digital solutions. With operations across the US, Europe, India, and the Asia Pacific and a global team of 1800+ employees, Kellton enables clients to use technology as their competitive advantage. Kellton has been placed four times on the Deloitte Technology Fast 50 India List and recognised by Forbes Asia as one of the Top 200 companies in their ‘Best Under a Billion’ List.
Kellton Tech Solutions concluded FY25 with strong financial results, reporting an 11.7 per cent increase in annual net sales to Rs 1098 crore and a 23.4 per cent rise in net profit to Rs 80 crore compared to FY24. This growth was bolstered by their strategic focus on AI and the addition of nine new client wins in Q4FY25, contributing to the quarter's net sales of Rs 286 crore and net profit of Rs 19 crore.
The company's promoters hold 40.82 per cent stake as of March 2025 and the stock trades at a PE of 15x whereas the industry PE is 28x. The company has a market cap of over Rs 1,300 crore. The stock is up 42 per cent from its 52-week low of Rs 95.05 per share and a whopping 798 per cent in 5 years.
Disclaimer: The article is for informational purposes only and not investment advice.