Multibagger returns of 378,500 percent and order book of 1,505 million: the board of directors of this cable and conductor manufacturing company announces 10:1 share split

The stock has generated multibagger returns of 3,050% in just 1 year, returns of 1,36,000% in 3 years and a whopping 3,78,500% in 5 years.

On Friday, shares of Diamond Energy Infrastructure Limited reached an upper circuit of 5 percent to Rs 1,892.85 per share from the previous close of Rs 1,802.75 per share with volume increase of over 1.40 times on BSE. The stock also hit a new 52-week high of Rs 1,892.85 and its 52-week low of Rs 60.03.

Diamond Power Infrastructure Limited (DPIL) informed that the Board of Directors has approved and recommended subdivision of one equity share with face value of Rs 10 each into 10 equity shares with face value of Re 1 each. This subdivision is being done to increase liquidity in the capital market, broaden the shareholder base and make shares more affordable and accessible to small and small investors. The deadline for this subdivision is three months from the date of shareholder approval. The registration date for the subdivision/stock split will be informed in due course after obtaining the approval of the company’s shareholders at an extraordinary general meeting.

Additionally, DPIL has invested in the shares of its wholly-owned subsidiary, DICABS Nextgen Special Alloys Private Limited. This subsidiary is engaged in the manufacture of wire rod, drawing, drawing, sheet rolling, processing, rewinding and cables and conductors. The company is installing three-bar mills with a capacity of 75,000 MTPA of AL 59 and other new generation aluminum-based alloys. This investment will significantly enhance DPIL’s leadership position in next-generation conductors used for power transmission. The project is expected to commence production in three phases from December 2024 to September 2025 at an estimated cost of Rs 50 million. The acquisition is a cash consideration of Rs 2,99,97,000 for 29,99,700 equity shares of Rs 10 each. This investment will not change DPIL’s stake in DICABS Nextgen Special Alloys Private Limited, which will continue to be a wholly owned subsidiary.

Diamond Power Infrastructure Limited (DPIL) is a veteran in India’s cable and conductor industry, boasting a strong position as one of the country’s fastest-growing fast-moving electrical goods (FMEG) companies. With a consolidated turnover of Rs 343 million, DPIL holds the distinction of being India’s largest single-site power cable and conductor manufacturer, operating five casting and continuous rolling (CCV) lines and having an installed capacity exceeding 250,000 MTPA for conductors. The company is at the forefront of providing robust, innovative and energy-efficient solutions to a diverse clientele.

The pending order book position of the company is Rs 1,505 crore as on date. The stock gave multibagger 3,050 percent returns in just 1 year, 1,36,000 percent returns in 3 years and a whopping 3,78,500 percent in 5 years. Investors should keep an eye on these small-cap stocks.

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

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