2:1 Bonus Issue: Penny Stock Below Rs 25, Hits Upper Circuit On EX-Bonus Date; Gives 152% Returns

Computer, software consulting firm, DRC Systems India turned ex-bonus on February 27 for its bonus share ratio of 2:1. The penny stock which is currently trading below Rs 25 per share, will reward investors with 2 bonus shares on existing 1 per share. Accordingly, the eligible shareholders were decided on Tuesday. The stock froze at its 5% upper circuit and neared its 52-week high.

DRC Systems India Share Price:

DRC's share price locked at its 5% upper circuit of Rs 23.21 apiece on Tuesday with a market cap of Rs 307.45 crore. The stock was near its 52-week high of Rs 23.69 apiece.

While the stock had climbed by 152% from its 52-week low of Rs 9.21 apiece.

DRC Systems India Bonus Issue:

As per the regulatory filing, the company turned ex-bonus for its bonus shares in the ratio of 2:1 i.e. 2 (Two) new Bonus Equity Shares of Re. 1/- each for every 1 (One) existing Equity Share of Re. 1/- each fully paid up held as on the "Record Date". The Bonus Issue of Equity Shares is subject to the approval of the shareholders and other applicable statutory and regulatory approvals, as may be required. The Bonus Shares once allotted shall rank pari-passu in all respects and carry the same rights as the existing Equity Shares.

The stock fixed Tuesday, February 27, 2024, as the Record Date for the purpose of determining the list of shareholders eligible for allotment of Bonus Equity Shares, subject to the approval of Members, which is being obtained through an Extra Ordinary General Meeting.

DRC Systems Share Capital:

Also, the company increased in Authorized Share Capital of the Company from Rs. 6,00,00,000/-to Rs. 15,00,00,000/- by creation of additional 9,00,00,000 (Nine Crores) Equity Shares of Re 1/- (Rupee One each) and consequent amendment to clause V of the Memorandum of Association of the Company, subject to approval of the shareholders and such other applicable statutory and regulatory approvals.

About DRC Systems India:

DRC Systems is an IT services and Consultancy Company in India focused on providing viable and lasting solutions to businesses. The company has been focused on innovation and creativity to lead the change, since its advent in 2012.

The company's services and solutions help businesses scale the market. Over the years, DRC has diversified its service offerings through a mix of organic growth and strategic transactions. The company believes the wide range of services that we offer enables it to build stronger relationships with its clients and cross-sell our services. Its customer base is spread across geographies and majorly to Europe, the USA, the Middle East and Asia.