A listed company offers bonus shares to its shareholders when makes a large profit in a quarter. However, generally, a company can give dividends for that, but as an alternative, they can also pay bonus shares, which are additional shares offered to the shareholders.
What is a Bonus Share
A 1:1 bonus ratio means a shareholder will get an additional share of the company when holding one share of the same company. So, if an investor is holding 100 shares of a company, the investor will get 100 additional shares for free. Here, two companies have been mentioned who are offering bonus shares of a 1:1 ratio. Offering bonus shares can attract more investors to a company, as it indicates that the company is showing considerable growth, and expecting the same further in the long run. Offering bonus shares can increase the outstanding shares leading to improving the liquidity of the company's stocks. So, the company's size will also grow with the gain in issued share capital.
Nazara Technologies Ltd.
Nazara Technologies Ltd. has announced a bonus share of 1:1 ratio on May 13, 2022. The record date of the bonus shares will be June 27, 2022, and the ex-bonus date will be June 24, 2022.
The current market price of Nazara Technologies Ltd. stood at Rs. 1,046.95/ share on NSE, falling by 2.61% in one day, till last traded. In the past 1 year, the company's stock price has fallen by 31.93%, in the past 6 month the stock price has fallen by 51.61%, while in the past 1 month the share price has fallen by 12.62%. Market capitalization of this small cap company is Rs. 3,444 crore.
Nazara Technologies is a leading India based diversified gaming and sports media platform with a presence in India and across emerging and developed global markets such as Africa and North America, with offerings across the interactive gaming, eSports and gamified early learning ecosystems, as the company officially mentions.
Minda Industries Ltd.
Minda Industries Ltd. has announced a bonus share of 1:1 ratio on May 24, 2022. The record date of the bonus shares will be July 8, 2022, and the ex-bonus date will be July 7, 2022.
The current market price of Minda Industries Ltd. stood at Rs. 894.85/ share on NSE, falling by 1.97% in one day, till last traded. In the past 1 year the company's stock price has gained by 36.67%, in the past 6 month the stock price has fallen by 14.58%, while in the past 1 month the share price has surged by 5.36%, amid a bearish market. Market capitalization of this large cap company is Rs. 25,747 crore. The company is giving 0.17% dividend yield.
Established in 1958, and making its mark in the International Grid of Automobile Components manufacturing, UNO Minda steers ahead as a leading Tier 1 supplier of Proprietary Automotive Solutions to Original Equipment Manufacturers (OEMs). The group's turnover is beyond US$ 1 Billion.
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