Bajaj Auto plans bonus share issue after 13 years
14 Jul 2010
India's second largest two-wheeler maker Bajaj Auto today said it was planning to issue bonus shares. The board will decide on this at its meeting scheduled for 22 July.
The company's scrips hit an all-time high at Rs2,461.70 per share on the BSE with the announcement.
"A meeting of the board of directors of the company will be held on July 22, 2010, to consider a proposal for declaration of bonus shares, subject to approval by shareholders," the company said in a filing to the Bombay Stock Exchange. The company did not however announce any further details of the proposed issue.
According the company's official website, the last time Bajaj Auto Ltd (now known as Bajaj Holdings and Investments Ltd) made an announcement of the sort was in October 1997, when it issued bonus shares issued in the ratio of 1:2.
Earlier it had issued bonus shares in 1:1 ratio in 1994, 1991, 1988, 1984 and 1976.
It issued bonus shares in the 1:2 ratio in 1971 and 1973 and its biggest bonus share issue till date was in 1967 with the issue of five new shares for every one held in the company.
