Multibagger IT stock below Rs 150: Board announces 1:5 stock split & Allotted 55,00,000 warrants to promoter & non-promoters
The shares of the company saw a spurt in volume by more than 5 times on the BSE.
On Monday, shares of Kellton Tech Solutions Limited gained 1.30 per cent to Rs 132.40 per share from its previous closing of Rs 130.70 per share. The stock’s 52-week high is Rs 184.30 per share and its 52-week low is Rs 95.05 per share. The shares of the company saw a spurt in volume by more than 5 times on the BSE.
The Board of Directors of Kellton Tech Solutions Limited has approved two key initiatives: a fundraising plan and a share split. The company will issue up to 55,00,000 warrants, convertible into equity shares, at an issue price of Rs 126 per warrant, aiming to raise approximately Rs 69.30 crore from both promoter and non-promoter investors. Additionally, the Board recommended a 1:5 share sub-division/split, where each existing equity share with a face value of Rs 5 will be split into five equity shares of Re 1 each. This split is intended to enhance share liquidity in the market and encourage wider participation from small and retail investors by making the shares more affordable. Both proposals are subject to regulatory and shareholder approvals.
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.
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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 by 39.3 per cent from its 52-week low of Rs 95.05 per share and a whopping 825 per cent in 5 years.
Disclaimer: The article is for informational purposes only and not investment advice.