400% returns in one year! Multibagger stock in focus after company announces 4:1 bonus issue

Multibagger stock: LKP Finance Ltd. shares will be in focus of the stock market investors on Tuesday, 20 January 2026, after the company said its board has approved a bonus issue of shares and an increase of authorised share capital, according to an exchange filing.

LKP Finance's board disclosed that the bonus issue will be in a ratio of 4:1, which means that if an investor holds one share of the company as on the record date, they will receive four additional shares as a bonus on their investment.

The bonus shares will be issued by using money from the firm's securities premium account, the company said in its exchange filing.

At LKP Finance's board meeting held on 19 January 2026, the company also approved an increase in its authorised share capital from ₹30 crore to ₹110 crore, subject to the approval from the shareholders.

LKP Finance bonus issue details

Under the proposed bonus issue, shareholders will receive four fully paid-up equity shares of face value ₹10 each for every one existing fully paid-up equity share held on the record date, according to the company.

The record date, or the company's fixed cut-off day to identify eligible shareholders for the corporate benefits, is yet to be announced by LKP Finance for the bonus issue.

The bonus shares are expected to be credited or dispatched within two months from the date of the board meeting, that is, on or before 19 March 2026.

“These decisions mirror the strength of our fundamentals and the momentum we have built across our businesses. The bonus issue is a way of sharing this value creation with our shareholders, while the enhanced authorised capital equips us for the next phase of growth. We are building LKP Finance as a future-ready platform with the scale and flexibility to pursue larger opportunities in India’s evolving financial and digital economy,” said Kapil Garg, Promoter of LKP Finance.

Share price trend of LKP Finance

The Mumbai-based financial services company's stock has been a multi-bagger for stakeholders, giving returns of over 400% in the past one-year period and around 116% in the past six months, according to data from the Bombay Stock Exchange (BSE).

The stock ended Monday's trading session with gains, settling at ₹1,099.95, up ₹33 or 3.11% from the previous close of ₹1,066.8, as per the data.

The company's stock has gained nearly 25% over the past month, but has declined about 5% over the last five trading sessions.

Disclaimer: This story is for educational purposes only. We advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.