Small cap companies, BLS International Services Ltd and Precision Wires India Ltd, which recommended bonus issue of equity share in November have set their record dates in December.
Bonus shares are extra shares that a company grants to existing owners.
The fundamental idea behind bonus shares is that the number of shares issued increases as a constant proportion of shares held to shares outstanding. Bonus shares are distributed by companies to promote retail involvement and broaden their equity base.
Further, the record date is the deadline by which one must have the shares in one's demat account in order to be eligible for bonus advantages.
BLS International Services Ltd, which offers tech-enabled, visa, consular and citizen services, has fixed December 10 as the record date for the purpose of issuing bonus shares in the proportion of 1:1 – one new equity share of 1 rupee each for every one existing equity share of 1 rupee each held by the shareholders of the company.
The company's ex-bonus date is December 8.
The last bonus that the company announced was in the ratio 1:1 with ex-date of May 13, and record date May 17.
BLS International Services, a small-cap stock has a market cap of ₹7,934 crore.
Precision Wires India, a company that is engaged in the production and sale of winding wires made of copper of all types, has fixed December 22 as the record date for the purpose of ascertaining the eligibility of shareholders for issuance of bonus equity shares of the company in the proportion of 1:2 ratio.
As per the exchange filing, every eligible shareholder will receive one new fully paid up equity share of 1 rupee each for every two fully paid up existing equity shares of 1 rupee each held.
The company's ex-bonus date is same as the record date.
Precision Wires India, which is also a small cap stock, has market cap of 1,268 crore rupees.
