| Particulars | Details |
|---|---|
| Bonus Ratio | 3:1 (3 new shares for every 1 existing share) |
| Record Date | June 23, 2025 |
| Allotment Date | June 24, 2025 |
| Bonus Shares Allotted | 5,95,30,353 |
| Post-Bonus Equity Shares | 7,93,73,804 |
| Post-Bonus Share Capital | ₹79.37 crore |
Allotment Details
The allotment of bonus shares was carried out in the proportion of three new fully paid-up equity shares of ₹10 each for every one existing fully paid-up equity share of ₹10 held by the members. The company had previously fixed Monday, June 23, 2025, as the record date to determine the eligibility of shareholders for receiving these bonus shares.
The company confirmed that the newly allotted bonus equity shares will rank pari-passu in all respects with the existing fully paid-up equity shares. This means the new shares will carry the same rights and privileges as the existing ones, including entitlement to any future dividends and voting rights.
Impact on Capital Structure
Consequent to this bonus issue, V-Mart's paid-up equity share capital has seen a significant expansion. The total paid-up capital has increased to ₹79,37,38,040, which is comprised of 7,93,73,804 equity shares with a face value of ₹10 each. Before the bonus issue, the company's paid-up capital stood at approximately ₹19.84 crore, consisting of 1,98,43,451 equity shares. The issuance of bonus shares effectively capitalizes the company's reserves and surplus, transferring them to the equity capital base.
Market and Shareholder Context
A bonus issue is a corporate action wherein a company distributes additional shares to its existing shareholders free of cost, in proportion to their holdings. While this action does not change the fundamental value of the company, it increases the total number of shares outstanding. This leads to an increase in the stock's liquidity in the market.
For shareholders, a bonus issue increases the number of shares they hold without any additional investment. The market price of the stock typically adjusts downwards in proportion to the bonus ratio. For instance, in a 3:1 bonus, the number of shares quadruples, and the stock price is expected to adjust to roughly one-fourth of its pre-bonus level. This makes the stock more affordable for retail investors, potentially widening the shareholder base. Such actions are often viewed positively by the market as they can signal management's confidence in the company's long-term financial health and its ability to service a larger equity base in the future.
