NBCC shares jump 6% as stock trades on ex-bonus basis today

Shares of NBCC (India) surged 6.25% to their day’s high of Rs 119.80 on BSE today as the stock is now trading on an ex-bonus basis for the 1:2 bonus issue, which the company had announced earlier.

In August, the company announced that it had fixed October 7 as the record date for this purpose, meaning that shareholders listed in the company’s books as of today will be eligible for the bonus share issuance.

“The Board of Directors has recommended the issuance of Bonus Shares to the Shareholders of the Company in the ratio of 1:2 i.e. 1 (One) new fully paid-up Equity Share of Rs 1/- (Rupee One Only) each for every 2 (Two) existing fully paidup Equity Share of Rs 1/- (Rupee One Only) each to the eligible members of the Company as on Record Date, subject to the approval of the Shareholders in the forthcoming Annual General Meeting. The Board has fixed Monday, October 07, 2024 as Record date to determine the eligibility of members to receive bonus shares,” the company had said in a filing to the exchanges.



The company has issued bonus shares once prior to this instance. This was done by the company in 2017, according to the data available on Trendlyne.

A company usually issues bonus shares to increase stock liquidity and lower the stock price, making it more affordable for investors.

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In the last one year, the same has gained 186% and has increased by 113.4% in the current calendar year. However, in a shorter term, the stock has decreased by 7.4% in the last 3 months and 2.3% in the last one month.

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