1:3 Bonus Shares: Maharatna PSU Stock Recommends Bonus Shares, Scrip Jumped 3%, Hits 52-Week-High

Large-cap Maharatna CPSE, Power Grid Corporation of India Ltd. on Monday, July 31, announced its April-June quarter results for the Fiscal year 2023-24. In the first quarter, the company reported a 5% YoY decline in its consolidated net profit to Rs 3,597.16 Crore from Rs 3,801.29 Crore in the corresponding quarter last year. The operating revenue grow by 1% to Rs 11,048 crore from Rs 10,905 crore in the corresponding quarter last year.

The Company's Board recommended a 1:3 ratio of bonus shares i.e. 1 equity Bonus Share of Rs. 10/- each for every 3 existing equity share of Rs.10/- each fully paid up. The Bonus issue is subject to approval by the Board of Directors of the company at the AGM. Additionally, the Board informed that the company will raise funds up to Rs 12,000 Crore from the domestic market.

Bonus Shares

"Recommended issue of Bonus Shares in the ratio of 1:3 i.e. 1 (one) new equity Bonus Share of Rs. 10/- each for every 3 (three) existing equity share of Rs.10/- each fully paid up, subject to approval of the Shareholders of the Company in the ensuing Annual General Meeting. The estimated date by which Bonus Shares shall be credited/dispatched is 25th September, 2023," the Board said in a regulatory filing.

Fund Raise

According the regulatory filing by the Board of Directors of Power Grid Corporation of India Ltd., "raise funds up to ₹ 12,000 Crore from domestic market through issue of secured / unsecured, non-convertible, non-cumulative/cumulative, redeemable, taxable / tax-free Debentures/Bonds under Private Placement during the Financial Year 2024-25 in one or more tranches/offers subject to the approval of shareholders of the Company."

Stock Movement

On BSE, The stock of Power Grid jumped 3%, hits 52-week-high at Rs 266.85. Currently, trading at Rs 266. Its 52-week low is Rs 186.35.

The stock jumped 7.52% in the past 1 week, while in 2 weeks it jumped 10.37%. It jumped 12.33% in 3 months and 22.33% in 6 months, respectively. It jumped 24.305 in 1 year, 98.58% in 3 years, and 94.66% in 5 years, respectively. Stock has a market cap of Rs 1,85,547.05 Crore.

Disclaimer- The stock just highlights the Bonus Shares and is not a recommendation to buy, sell or hold. We have not done fundamental or technical analysis and have no opinion on the stock mentioned. Neither the author nor Greynium Information Technologies should be held liable for any losses. Please consult a professional advisor.