New Delhi [India], September 1 : The Board of Directors of NBCC (India) Limited in its latest meeting has recommended the issuance of Bonus Shares to the Shareholders of the Company in the ratio of 1:2.
The meeting held on Saturday recommended the issuance of bonus shares in ratio of 1:2 i.e. 1 (One) new fully paid-up Equity Share of Rs 1 each for every 2 existing fully paid-up Equity Share of Rs 1 each to the eligible shareholders of the company as on record date.
The decision of the board of directors is subject to the approval of the shareholders in the forthcoming Annual General Meeting.
"This decision reflects the Company's strong financial health and its commitment to rewarding its shareholders. The Board has also fixed Monday, October 07, 2024, as the Record date to determine the eligibility of members to receive bonus shares" said the company.
According to the company, the eligible shareholders, whose names appeared in the Register of Shareholders or the List of Beneficial Owners maintained by the depositories as of August 31, 2024, will receive these bonus shares. Consequently, the paid-up equity share capital of the company will increase from Rs. 180 crore to Rs. 270 crore.
It also added that The newly allotted bonus shares will hold equal status with the existing shares. They will be directly credited to the shareholders' demat accounts.
The Company has a balance of Rs. 1,959 Crore being reserves and surplus available for capitalization as per Audited Financial Statements on March 31, 2024.
"The decision to recommend a bonus issue is a testament to the robust performance and sound financial position of NBCC India Limited. The Company has also achieved the highest ever turnover, business development and profit for the Financial Year 2023-2024. This initiative aims to enhance shareholder value and demonstrates our dedication to our investors. We believe that this initiative will further strengthen the confidence of our shareholders and reflect our ongoing commitment to creating value" said K.P. Mahadevaswamy, CMD, NBCC.
The last bonus that NBCC (India) announced was in 2017 in the ratio of 1:2. NBCC (INDIA) LIMITED, is a blue-chip Government of India Navratna Enterprise under the Ministry of Housing and Urban Affairs.
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