The ‘Make in India’ initiative by the Central government has led to a recent surge in the value of numerous defence stocks. The shares that have gained pace also include those of Avantel Ltd, a defence sector company. The stock has been on a gaining spree since the last few days.

The multibagger defence stock closed 0.35% higher at Rs 129.05 apiece on BSE on Tuesday extending its rally for the third consecutive day.

Avantel Ltd. has been under radar due to the surge in stock price in the last few months. The stock has gained nearly 50% in the last three months and over 23% in the last one month. Shares of the company have surged more than 400% so far this year and over 340% in the last one year period.

Shares of the company have surged over 2000% in the last three years.

Last week, the company’s board approved bonus issuance of 16,21,79,720 equity shares at a value of Rs 2 apiece to eligible shareholders at a 2:1 ratio. The record for bonus issue was November 24. The shareholders will receive two new fully paid-up equity shares of Rs 2 each for every 1 existing equity share held by them.

The company has also issued a dividend 20 times since June 2001.

Avantel Ltd declared a dividend of Re 1 per share in the last 12 months. Adjusting for its bonuses, splits and dividends, the stock’s dividend yield at the current market price is 0.05%.

Six months ago, the price of this share was Rs 32.89 per piece. Now it has increased to Rs 130.90 apiece. If an investor had invested Rs 1 lakh in the shares of Avantel Limited six months ago, then today its value would be Rs 3,91,000. In this way, this money would have increased almost four times in just 6 months.