1:10 Stock Split & 1:1 Bonus Shares: To Be Credited By 3rd February; Share Price Target?

Due to its involvement in all areas of stock broking, B.N. Rathi Securities Ltd. (BNRSL) is able to meet the needs of its diverse and expanding retail and institutional clients. A publicly traded stock broking company, B.N. Rathi Securities Ltd. offers a wide range of integrated services covering all aspects of financial market transactions. For its secondary market operations, the corporation is registered with UTI, Bank of India, Bank of Maharashtra, and Life Insurance Corporation of India Ltd. Over the last three decades, it has serviced countless investors as one of the leading national broking businesses. Today, it is widely distributed throughout the country and is one of the leading CDSL participants in South India.

B.N. Rathi Securities Stock Split

The Board of Directors of B.N. Securities Limited at its meeting held on Wednesday, 04th December, 2024 considered and approved "Alteration in Capital of the Company by Split/Sub-division of 1 (One) Equity Share of the Company having face value of Rs.10/- each into 2 (Ten) Equity Shares of the Company having face value of Re. 5/- each and consequential amendment in the Memorandum of Association of the Company, subject to necessary approvals. The Managing Director of the Company is authorized to fix the Record Date for the purpose of Split/Sub-division."

The rationale for declaring split/sub-division of 1 equity share of the company having face value of Rs. 10/- each into 2 equity shares of the company having face value of Rs.5/- each is to enhance the liquidity of Equity Shares and widen the shareholders base by making the equity shares more economical to the investors.

B.N. Rathi Securities Bonus Shares

The Board of Directors of B.N. Securities Limited at its meeting held on Wednesday, 04th December, 2024 considered and approved "Issue of one (1) Bonus Share for every 1 (One) Equity Share held by the Equity Shareholders of the Company as on 'Record Date'. The Bonus Issue of Equity Shares is subject to the approval of the shareholders and other applicable statutory and regulatory approvals, as may be required. The Managing Director of the Company is authorized to fix the Record Date for the purpose of Bonus Issue."

2,07,50,000 equity shares of face value of Rs.5/- each (post considering the split of shares) is the total number of securities proposed to be issued as a part of bonus shares.

Rs.10,37,50,000 is the free reserves and/ or share premium required for implementing the bonus issue.

On or before 03.02.2025 is the estimated date by which the bonus shares shall be credited to the eligible shareholders said B.N. Rathi Securities in a stock exchange filing.

B.N. Rathi Securities Financials

The company reported revenue from operations of Rs 14.37 crore in the September 2024 quarter up 17.93% from Rs. 12.19 crore in the September 2023 quarter. Its net profit increased 26.17% from Rs. 3.16 crore in Q2FY24 to Rs. 3.99 crore in Q2FY25. EBITDA increased 24.23% from Rs. 4.54 crore in the September 2023 quarter to Rs. 5.64 crore in the September 2024 quarter.

B.N. Rathi Securities Share Price Target

"BN Rathi stock price is bearish on the Daily charts with strong resistance at 198. A Daily close below support of 180 could lead to a target of 161 in the near term," said A R Ramachandran, Independent Research Analyst.

Disclaimer

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