Bonuses, dividends, and buybacks are three kinds of corporate actions that listed companies on the National Stock Exchange (NSE) and BSE announce in a bid to reward their investors. The year 2023 has seen a flurry of such announcements. Akshar Spintex, which is a multibagger stock, has informed investors through a stock exchange filing that it could soon announce a triple bonanza for its investors.
According to an exchange filing, its board will meet on December 15 to "consider and approve the issue of bonus shares, interim dividends, and buybacks of shares."
The textile sector stock has delivered a return of more than 100 per cent in the past two years, according to exchange data. The multibagger stock had already, on July 31, this year, split the equity shares of Rs 10 face value. The sub-division had taken place in the ratio of 10 for 1. Each stock of Rs 10 face value was split into 10 equity shares of Re 1.
The small-cap stock deals in the textile industry. Based in Gujarat, it recently secured an international order worth Rs 171 crore.
Notably, the government has taken a number of measures, including the production-linked incentive (PLI) scheme, to boost the textile sector and generate employment as a whole. The government is likely to tweak the PLI scheme to make it more attractive and bolster manufacturing in the labour-intensive sector.
The textile industry is one of the largest sources of employment generation in the country. According to PIB data, the industry employs over 4.5 crore people directly, including a large number of women and rural populations.
The market size of India's textile and apparel industry is projected to grow at a 10 per cent CAGR to reach $350 billion by 2030. The sector contributed about 2 per cent to India's GDP, and it is the second-largest employer after agriculture.