IGL share price jumped nearly 4 percent in December 5 trade after the city gas distributor announced that the board will consider the proposal of bonus share issue on December 10.
"This is to inform that meeting of the Board of Directors is scheduled to be held on December 10, 2024, inter-alia to consider the proposal for issue of Bonus Shares to the equity shareholders of the Company in the ratio, as may be fixed, subject to the Shareholders' approval," a statement by the company said on December 4.
The bonus ratio has not been announced by the company and is likely to be declared on December 10.
IGL stock reacted sharply to the company's corporation action announcement and the shares were up 3.82 percent in the morning trade to hit an intraday high of Rs 374 per share on the NSE.
The scrip opened gap up with a gain of 3.82 percent. At the time of publishing, the stock was trading at Rs 368.30 apiece, up 2.23 percent.
The gas distribution company had given an interim dividend of Rs 5 per share in November, and a final dividend in September.
Shares of IGL have taken a significant hit of from the highs of the year to fall 12.65 percent so far this year. The benchmark Sensex moved 11.9 percent higher during the same period.
The shares saw a down trend after Centre announced the decision to cut priority gas allocation to city gas distributors.
A reduced allocation in the APM means that the Centre has cut the supply of low-priced natural gas from old fields to city gas retailers.
Disclaimer: The views and investment tips expressed by experts on Moneycontrol are their own and not those of the website or its management. Moneycontrol advises users to check with certified experts before taking any investment decisions.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
