Bharat Rasayan Limited Approves 1:2 Stock Split and 1:1 Bonus Issue to Benefit Shareholders

On October 24, 2025, Bharat Rasayan Limited's board made several decisions aimed at benefiting shareholders. The board approved a 1:2 stock split to enhance liquidity and make shares more accessible to smaller investors. This split will divide each Rs 10 share into two Rs 5 shares. Additionally, a 1:1 bonus issue was recommended, offering one new Rs 5 equity share for each existing share, pending shareholder approval.

The company plans to split its 41,55,268 equity shares of Rs 10 each into 83,10,536 shares of Rs 5 each. This effectively halves the face value per share. Despite this change, the issued, paid-up, and subscribed capital will remain at Rs 4.15 crore. The authorized share capital will continue to be Rs 20 crore. This move aims to attract more small investors and expand the shareholder base.

The stock split is expected to be finalized within approximately two months after receiving shareholder approval. All necessary legal compliances will be adhered to during this process.

Bharat Rasayan Ltd has declared a 1:1 bonus issue. Shareholders will receive one new fully paid-up equity share for every existing share they hold. To increase the total share capital from Rs 4,15,52,680 (comprising 83,10,536 shares) to Rs 8,31,05,360 (comprising 1,66,21,072 shares), the company will issue 83,10,536 equity shares priced at Rs 5 each.

The bonus issue will be funded by capitalizing Rs 4,15,52,680 from the company's Free Reserves and Capital Redemption Reserve. As of March 31, 2025, these reserves had a combined balance of Rs 1,10,246.64 lakh. The allocation of bonus shares is expected within two months of board approval or by December 23, 2025.

Bharat Rasayan Stock Target Price

"Bharat Rasayan remains range-bound but is showing signs of strength near support levels. A sustained move above ₹11,700 could trigger momentum toward ₹12,200. The stock's overall structure stays positive as long as it holds above ₹11,400. Traders can watch for a breakout confirmation with rising volumes for fresh upside opportunities," commented Riyank Arora, technical analyst at Mehta Equities Ltd.

The record date for both the stock split and bonus issue has not yet been announced. These corporate actions are designed to make Bharat Rasayan's stock more appealing and accessible to a broader range of investors.

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