High Promoters Holding Stock Announces Update On 1:2 Bonus Shares: Do You Own?

A small-cap company in the diversified commercial sector named SBC Exports opened on the BSE today at a price of Rs 28.64 per share. Following the company's announcement of a 1:2 bonus share update, the stock was trading 8% down at Rs 27.01 during the opening session.

"With reference to the subject cited above and in furtherance of In-principal approval accorded by the exchange pertaining to the Issue of Bonus Shares as approved by the shareholders through Postal Ballot by way of remote e-voting process.

This is to inform you that the board has decided in its meeting held today in case of fractional shares, arising out of the issue and allotment of bonus equity shares, the Board hereby authorized to deal with such fractions for the benefit of the eligible shareholders, including but not limited to, allotting the total number of new equity shares representing such fractions to Mr. Manish Gupta (Independent Director) of the Company appointed by the Board of Directors who would hold them in trust as trustee for such Shareholders and shall, as soon as possible, sell such equity shares at the prevailing market rate and the net sale proceeds of such equity shares, after adjusting the cost and the expense in respect thereof, be distributed among such Shareholders who are entitled to such fractions in the proportion of their respective fractional entitlements.

This information is provided under Regulation 30 of SEBI (LODR) Regulations, 2015. This is for your information and necessary records," said SBC Exports in a regulatory filing on Tuesday.

The company decided to set Friday, January 19, 2024, as the "Record Date" in order to determine which shareholders are eligible to receive Bonus Equity Shares at a 1:2 ratio, subject to shareholders' approval.

"A meeting of the Board of Directors of the Company will scheduled to be held on Wednesday, 24th January, 2024 at 4:00 P.M. at the Corporate office of the Company i.e. 49/95 Site-IV, Sahibabad Industrial Area Ghaziabad, Uttar Pradesh - 201010 to transact, inter-alia, consider: 1. The Un-Audited Financial Results (Standalone and Consolidated) for the Quarter ended December 31st, 2023. 2. Any other item with the permission of the Chairman," said SBC Exports in a regulatory filing.

The company manufactures premium apparel for women, men, and children. It offers a wide range of T-shirts, jeans, sweat shirts, trousers, jackets, leggings, and other items under brand names like "SBC DESIGN+," "F-ROUTE," "IEDEE," "FEMAS FASHIONS," "FEMAS LINGERIE'S," and "FEMAS JEANS," among others. Additionally, the company offers services in the areas of system integration, web and software development, e-government services, IT solutions, and scanning and digitization.

During Q3FY24, the company recorded promoters' shareholding of 65.91%, FIIs stake of 0.03%, and public stake of 34.06%.