1:1 Bonus Shares: Record Date To Be Determined By The Board; Buy 1 To Get 1 Free Bonus Share?

One of the top companies in the food and agricultural industries is Spright Agro Limited. From its establishment in 1994, the firm has provided a vast array of services and products, such as contract farming, greenhouse technology, modern agro farming, organic farming, cold storage, aeroponics, hydroponics, b2b in agriculture, b2c retail chain, and export. With a market valuation of Rs 664.87 Cr, Spright Agro's shares closed Monday's trading session 4.98% down at Rs 12.41 apiece on the BSE following the company's announcement of bonus shares in a 1:1 ratio.

Spright Agro Bonus Shares

The Board of Directors of the company which was held on Friday, 11th October, 2024 considered and approved "Bonus Issue of Equity Shares in the ratio of 1:1 i.e., 1 Equity Shares of Rs 1/- each for every 1 Equity Share of Rs 1/- each held by the shareholders of the Company as on the Record Date (to be determined by the Board and will be intimated to the exchange), subject to the approval of members of the Company by Extraordinary General Meeting," said Spright Agro in a stock exchange filing.

53,57,53,771 equity shares of Re 1/- each is the total number of securities proposed to be issued or the total amount for which the securities will be issued as a part of bonus shares by Spright Agro.

The company's pre-bonus paid-up share capital is Rs. 53,57,53,771/- divided into 53,57,53,771 equity shares of Re 1/- each while the post-bonus paid-up share capital is Rs. 107,15,07,542/- divided into 107,15,07,542 equity shares of Re. 1/- each.

The bonus shares will be issued out of the Securities Premium Account of Rs. 53.58/- crore of the company available as of September 30, 2024, said Spright Agro in a stock exchange filing.

"As on September 30, 2024, the balance of Rs. 46.41/- crore is available in the Securities Premium Account and remaining 7.17 crore is available from General Reserves," informed Spright Agro to stock exchanges.

Spright Agro Bonus Shares Allotment

"Pursuant to SEBI (ICDR) Regulations, 2018 and Listing Regulations, 2015, the allotment of shares in bonus issue shall be made only in dematerialized form and thus, in case of members who hold equity shares in dematerialized form, the bonus equity shares shall be credited to the respective beneficiary accounts of the Members with their respective Depository Participant(s) and in the case of Members who hold equity shares in physical form, the bonus equity shares shall be transferred to the Suspense Account opened in this regard, within such time as prescribed by law and the relevant authorities, subject to guidelines issued by SEBI in this regard," said Spright Agro in a regulatory filing.

"For issue and allotment of Bonus shares of Face Value of Rs 1/- (Rupee One only) each, credited as fully paid-up equity shares to the holders of the existing equity shares of the Company in consideration of their said holding , and whose names appear in the Register of Members maintained by the Company/List of Beneficial Owners of the Company maintained by the Company/List of Beneficial Owners as received from the National Securities Depository Limited (NSDL) and Central Depository Services (India) Limited (CDSL), on such date ("Record Date") fixed by the Company, in the proportion of 1:1 i.e. One (1) new fully paid equity share of Rs 1/- (Rupee One only) each for every One (1) existing fully paid equity share of Rs 1/- (Rupee One only) each held by the shareholders as on the Record Date and that the new bonus shares so issued and allotted shall be treated for all purposes as an increase in the paid-up share capital of the equity share capital of the Company held by each of such member(s) and not as income," the company further added.

Spright Agro Share Price Target

"Spright Agro stock price is bearish yet oversold on the Daily charts with strong resistance at 14.9. Investors should buy only if the Daily close is above the mentioned resistance for a target of 19.85 in the near term. Support will be at 11," recommended A R Ramachandran, Independent Research Analyst.

Disclaimer

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