The Indian stationery and pen market is poised for robust growth, driven by a burgeoning student population, increasing literacy rates, and rising demand from corporate and creative sectors. Valued at over ₹10,000 crores, the sector is witnessing a compound annual growth rate (CAGR) of 8-10%. With the increasing focus on education and the surge in creative professions, the scope for innovation and premiumization in the market is expanding rapidly.
Companies like DOMS, and Camlin are leading domestic players, and focus on high-quality products targeting students and artists, while global brands like Reynolds, Cello, Flair, and Luxor dominate the pen segment. As digital penetration grows, hybrid tools like smart pens and eco-friendly stationery products offer significant future potential.
Share Price
The shares of Linc Limited are trading at Rs. 650 up by 2.03% from its previous close of Rs. 638.8 as of December 9, 2024. The stock also touched an intraday high of Rs. 670 during the trading hours.
What are Bonus shares?
Bonus shares are additional shares issued by a company to its existing shareholders without any extra cost, based on the number of shares they already hold. These are distributed from the company’s free reserves or retained earnings, increasing the total number of shares but not altering the shareholders’ ownership percentage.
What is a share split?
A share split is a corporate action where a company divides its existing shares into multiple shares, reducing the face value proportionally. This increases the number of shares in circulation while keeping the overall market capitalization unchanged. Share splits improve share liquidity and make them more affordable for investors.
Bonus Share and Share Split Details
A company recently announced two key corporate actions to enhance shareholder value, with the record date set for December 20, 2024. First, it approved the sub-division or split of equity shares, reducing the face value of each equity share from ₹10 to ₹5. This move effectively doubles the number of shares held by investors, improving liquidity and affordability.
Additionally, the company declared a 1:1 bonus issue, offering one fully paid equity share of ₹5 face value for every existing ₹5 share. This will further boost the shareholding base and reflect the company’s confidence in its growth outlook. These initiatives underline a robust shareholder-centric approach, potentially attracting more investors to the stock.
About the Company
Incorporated in 1976, Linc Limited is a pioneer in the manufacturing and distribution of writing instruments and stationery in India. As one of the largest and oldest players in the sector, the
company offers a diverse product portfolio, including ball pens, gel pens, roller pens, retractable pens, and dark pencils, catering to both domestic and international markets.
With a strong focus on innovation and quality, Linc has established a reputation for producing reliable, cost-effective writing instruments. The brand continues to expand its reach across education, corporate, and creative sectors, addressing the growing demand for premium and functional stationery. Linc’s enduring legacy and dedication to excellence make it a leader in India’s writing instrument industry.
Conclusion
Linc Limited’s recent corporate actions, including a share split and bonus share issue, demonstrate strategic financial maneuvering to enhance shareholder value. By reducing share face value and increasing the number of shares, the company aims to improve stock liquidity and affordability.
These moves, coupled with the company’s strong position in India’s growing stationery market, reflect Linc’s commitment to innovation, market expansion, and investor confidence. The initiatives signal a positive outlook for this established player in the writing instruments sector.
Written By: Dipangshu Kundu
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