The Board Of Bharat Gears Approves The Bonus Share Issue In 1:2, Here Are The Details

The latest announcement of Bharat Gears Ltd to the exchange shows the finance board of directors has approved the decision of issuing bonus shares in the ratio of 1:2 for the existing shareholders. However, the news didn't have much effect on the share price as the stock traded flat in the starting trading session of October 03, 2022; the stock surged to the upside and then plunged to its current market price of Rs. 147.04.

In the latest announcement to the national stock exchange, the company mentioned, "this is to inform that the Finance Committee of the Board of Directors of the Company at its Meeting held on October 03, 2022, considered and approved the following:

• Allotment of 51,18,353 (Fifty-One Lakhs Eighteen Thousand Three Hundred Fifty-Three) Bonus Equity Shares having face value of Rs. 101 (Rupees Ten) to the existing Shareholders of the Company in the ratio 1:2, i.e., 1 (One) Equity Share for every 2(Two) Equity Shares held as on record date, i.e., September 28, 2022.

The Meeting of the Finance Committee commenced at 11:00 A.M. and concluded at 11:20 A.M."

Bharat Gears Ltd. (BGL) is India's largest gear manufacturer, founded in 1971. BGL is a significant provider of heat treatment furnaces and automotive gears on a global scale. The company also provides various gear for MCV, HCV, utility, LCV, and off-road vehicles. In addition to having 3 sales offices in Delhi, Mumbai, and Kolkata, the company has a robust dealer network of 72 dealers spread throughout 26 states, which covers the whole domestic territory.