MILLIONAIRE INITIAL PUBLIC OFFERINGS OF INDIA
CROREPATI INITIAL PUBLIC OFFERINGS.
Infosys ltd

Infosys share price has returned more than 1600% to Rs 1245.6 (adjusted to all bonuses, stock split, etc). Incorporating all bonus issues, stock splits and the appreciation in share price, Rs 10,000 invested in Infosys shares at the time of IPO, has turned into well over Rs 2 crore in the span of 25 years.
MRF Ltd

MRF shares have generated multi fold returns for the investors over the years. If an investor had invested Rs 1 lakh in MRF shares 25 years ago, the corpus would have been worth Rs 74.02 crore in April 30, 2018 when the stock was its peak.
WIPRO Ltd

Let’s just assume that you bought 100 shares of Wipro each at a face value of Rs.100 in the year 1980. Total investment: Rs10,000. You don’t touch it at all, no profit booking or buying more shares. Occasionally companies provide benefits to its shareholders by way of corporate actions. They could provide bonus shares for shares that you hold, they could do a stock split where a high face value share would be broken down into smaller face value shares but the number of shares increases proportionately, etc.
Wipro has done various such bonuses and stock splits in its history of 1980-2017. Let us now see the different corporate actions and how the number of stocks would’ve grown.
Wipro Investment growth
YEAR |
ACTION |
NUMBER OF SHARES |
FACE VALUE |
1980 |
Initial Investment |
100 |
Rs. 100 |
1981 |
1:1 Bonus |
200 |
Rs. 100 |
1985 |
1:1 Bonus |
400 |
Rs. 100 |
1986 |
Stock split to FV Rs.10 |
4,000 |
Rs. 10 |
1987 |
1:1 Bonus |
8,000 |
Rs. 10 |
1989 |
1:1 Bonus |
16,000 |
Rs. 10 |
1992 |
1:1 Bonus |
32,000 |
Rs. 10 |
1995 |
1:1 Bonus |
64,000 |
Rs. 10 |
1997 |
2:1 Bonus |
1,92,000 |
Rs. 10 |
1999 |
Stock split to FV Rs.2 |
9,60,000 |
Rs. 2 |
2004 |
2:1 Bonus |
28,80,000 |
Rs. 2 |
2005 |
1:1 Bonus |
57,60,000 |
Rs. 2 |
2010 |
2:3 Bonus |
96,00,000 |
Rs. 2 |
2017 |
1:1 Bonus |
1,92,00,000 |
Rs. 2 |
After the year 2010, there were no more bonuses or stock splits. But with just that initial investment of Rs10,000 (100 shares) you now would end up with 1,92,00,000 shares of the company because of all the stock splits and bonus shares. The current stock price of Wipro was Rs.386 per share, as of 26 February, 2019. Rs 386 multiplied by1,92,00,000 shares is equal to 741 crore rupees.


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