Midcap MNC Engineering Stock That Declared 2:1 Bonus: Check Details

GMM Pfaudler, a renowned engineering company has announced a 2:1 bonus for its shareholders. The company announced the bonus share on May 25, this year. The record date will be July 12, 2022, and eventually, the ex-bonus date will be July 11, 2022, as per the company informs.

The company's current market price is Rs. 3,909.45 on NSE. Its 52 week high range is Rs. 5,295.00 and 52 week low range is Rs. 3,770.00. According to the latest available data, its market capitalization is Rs. 5,719.39 crore (midcap). The company's face value is 2.00.

Bonus share is known as the additional shares which are offered to the company's current shareholders. However, the shareholders are not charged with any extra cost for this. When a company's accumulated earnings are not offered through dividends, the board can convert them into free shares, which is called a bonus. By providing the bonus shares, the company's overall capital will be the same. But there are some benefits of it. If a company's share price is quite high, it will not be affordable for the investors; so, if a company announces a bonus, it is expected that the shares will be affordable for them.

Recently, GMM Pfaudler announced 2:1 bonus, which means, that if an investor is holding 100 shares of the company, the investor will be given 200 extra shares. So, the investor now will be having a total of 300 shares of the company.

GMM Pfaudler, established in 1884 is a global leader in corrosion-resistant technologies, systems, and services for the chemical, pharmaceutical, food and energy industry. Their Branded Product Lines include Pfaudler, Normag, Mavag, Mixon, Interseal, Equilloy, and Edlon. They cover all chemical-unit operations. In the March quarter of FY 22, the company's revenue stood at Rs. 228.54 crore, and net profit stood at Rs. 20.35 crore.