Share Market Tips: This telecom company gave 938% return in 2 years, full signs of growth ahead, don’t miss the opportunity – tejas network share increase 938 percent in two year holding period

New Delhi : Tejas Networks Ltd, an S&P BSE smallcap company operating in the telecom industry, has given excellent returns to its shareholders in the last two years. During this period the share price of the company has increased from Rs 68.60 on 15 October 2020 to Rs 712.60 as on 14 October 2022. This is an increase of 938.7% over the two-year holding period.

This company was established in the year 2000. Tejas Networks is an optical, broadband and data networking products company. The company’s customers include telecommunications service providers, Internet service providers, utility companies, defense companies and government entities in more than 60 countries.

Tata Sons investment in the company proved to be a game changer
On 29 July 2021, the company announced that it has entered into definitive agreements with Pantone Finvest Limited, a subsidiary of Tata Sons Private Limited. Tata Sons had bought a 43.35% stake in the company for Rs 1,884 crore in a multi-step deal. This included sale of shares worth Rs 500 crore and warrants worth Rs 1,350 crore. In addition, Tata Sons made an open offer to acquire 26% stake at Rs 258 per share in compliance with SEBI norms. This capital investment strengthens the balance sheet of the company. This allows the company to invest for its growth and expand its product portfolio.

Advantages of PLI Scheme
On the domestic front, the government’s policies are in favor of the telecom sector. The government has prepared a production-linked incentive (PLI) scheme of Rs 12,195 crore for this sector. The objective of the scheme is to promote local production of telecom equipment, reduce dependence on imports and provide an opportunity for domestic manufacturers to focus on exports as well. Shares of Tejas Network Limited were seen trading at Rs 705.25 in early trade on Tuesday.

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multibagger stock: This stock gave strong returns to the investors, got rich in the last two years
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