Multibagger Stock: Shareholders of Reliance Industries-backed Lotus Chocolate Company Ltd have received excellent returns. The company’s shares have surged 35% from ₹5,062 in September 2021 to the current share price of ₹1,807 per share. The stock is up 404% in the last four months. Let us inform you that Reliance Consumer Products (RCPL), the FMCG branch of Reliance Retail Ventures (RRVL), had acquired 51% stake in Lotus Chocolate Company for a total of ₹ 74 crore in March 2023.
Status of company’s shares
Shares of Lotus Chocolate Company have given returns of 480% in the last one year and 10,784% in the last five years. In five years this share has increased from Rs 16 to the current price. Its maximum return is 54,000%. Let us tell you that the price of the company’s shares on 3 October 2003 was only Rs 2. That means since then this stock has climbed 90250%. That is, suppose if an investor had invested Rs 10,000 in this share about 21 years ago, then as of today this amount would have been more than Rs 90 lakh.
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what are the details
RRVL, a subsidiary of Mukesh Ambani-led Reliance Industries, acts as the holding company for all retail businesses under the Reliance group. Lotus Chocolates is one of India’s leading manufacturers of finest chocolates, cocoa products and cocoa derivatives. Its products are supplied to chocolate makers and chocolate users across the country, from local bakeries to multinational companies. Consumer spending in the chocolate and confectionery industries is estimated to exceed ₹25,000 crore, with chocolate accounting for about two-thirds of the market and confectionery accounting for about one-third. The industry is expected to grow to more than ₹35,000 crore in the next four years, showing a CAGR of 10%. The chocolate category is mainly controlled by international players like Mondelez, Nestlé, Ferrero and Mars, which together have 85% market share. Indian companies have recently started gaining popularity, with Amul being the largest domestic player.
