Bharat Rasayan Shareholders Rejoice: 1:1 Bonus & 1:2 Split Approved; Is A Rally Next?

At its October 24, 2025, board meeting, Bharat Rasayan Limited made a number of decisions that will benefit shareholders. To improve liquidity and make the stock more affordable to small investors, the company's board approved a 1:2 stock split of its equity shares, splitting each share with a face value of Rs 10 into two shares of Rs 5. Subject to shareholder approval, the Board further recommended a 1:1 bonus issue, which would provide one new equity share worth Rs 5 for each existing share. The record date is yet to be announced for both the corporate actions.

Bharat Rasayan Stock Split

The company will sub-divide its 41,55,268 equity shares of ₹10 each into 83,10,536 equity shares of Rs 5 each, effectively halving the face value per share. After the split, the issued, paid-up, and subscribed capital will all still be at Rs 4.15 crore, while the authorized share capital will be at Rs 20 crore.

The goal of the action is to raise the number of smaller investors and broaden the shareholder base. Subject to all necessary legal compliances, the share split is expected to be completed in around two months after the date of shareholder approval.

Bharat Rasayan Bonus Shares

Bharat Rasayan Ltd has announced a 1:1 bonus issue, meaning shareholders will receive one new fully paid-up equity share for every existing share held. In order to increase the total share capital from Rs 4,15,52,680, which includes 83,10,536 shares, to Rs 8,31,05,360, which includes 1,66,21,072 shares after bonus issue, the company will be issuing 83,10,536 equity shares at a price of Rs 5 each.

The capitalization of Rs 4,15,52,680 from the company's Free Reserves and Capital Redemption Reserve, which as of March 31, 2025, had a combined balance of Rs 1,10,246.64 lakh, will be used to complete the bonus issue. Within two months of the board approval date, or by December 23, 2025, at the latest, the company anticipates allocating the bonus shares to the eligible shareholders.

Bharat Rasayan Target Price

"Bharat Rasayan remains range-bound but is showing signs of strength near support levels. A sustained move above ₹11,700 could trigger momentum toward ₹12,200. The stock's overall structure stays positive as long as it holds above ₹11,400. Traders can watch for a breakout confirmation with rising volumes for fresh upside opportunities," commented Riyank Arora, technical analyst at Mehta Equities Ltd.

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