NBCC (India) Limited has announced that its Board of Directors has approved the issuance of 90 crore new equity shares as bonus shares to its shareholders. This decision was made on August 31 and marks a significant step in the company’s financial strategy.
Shareholder Benefits
The bonus shares will be issued in a 1:2 ratio. This means that shareholders will receive one new fully paid-up equity share of ₹1 for every two existing shares they own. The new shares will be financed through the company’s free reserves, which amount to ₹1,959 crore as of March 31, 2024. To fund this bonus issue, ₹90 crore will be drawn from these reserves.
Record Date and Share Capital Increase
The record date to determine who is eligible to receive these bonus shares is set for Monday, October 7, 2024. After the bonus shares are issued, the company’s share capital will increase from 180 crore shares to 270 crore shares, raising the total share capital from ₹180 crore to ₹270 crore.
Next Steps and Timeline
This decision is subject to approval by the shareholders at the upcoming Annual General Meeting. Once approved, NBCC has committed to crediting or dispatching the bonus shares to eligible shareholders by October 31, 2024, in line with regulatory requirements and timelines.
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