NBCC Announces 1:2 Bonus Share Issue; Record Date Set for October 7, 2024

NBCC (National Buildings Construction Corporation), a Navratna Central Public Sector Enterprise, announced a bonus share issue in a 1:2 ratio. This means that shareholders will receive one new fully paid-up equity share of Rs 1 each for every two existing shares they hold. The record date to determine eligibility for receiving these bonus shares is set for October 7, 2024.

The proposal is subject to shareholder approval at the upcoming Annual General Meeting. "The Board of Directors has recommended the issuance of bonus shares to the shareholders of the company in the ratio of 1:2, subject to approval in the forthcoming AGM," NBCC stated in a recent exchange filing. The company plans to issue a total of 90 crore new equity shares, each with a face value of Rs 1, funded from free reserves created from profits as of March 31, 2024. The total amount required for this bonus issue is Rs 90 crore, while NBCC has a reserve surplus of Rs 1,959 crore.

The bonus shares are expected to be credited or dispatched to eligible shareholders within two months of Board approval, no later than October 31, 2024. Additionally, NBCC had earlier set September 6, 2024, as the record date for determining the eligibility of shareholders to receive a final dividend of Rs 0.63 per equity share for FY 2023-24.

In other recent developments, NBCC successfully sold 100% of its office and retail inventory worth approximately Rs 14,800 crore at the World Trade Centre (WTC) in Nauroji Nagar and Downtown, Sarojini Nagar, New Delhi. On August 14, its subsidiary HSCC (India) secured a contract worth Rs 528.21 crore for procuring biomedical equipment and hospital furniture for the Pt. Deen Dayal Upadhyaya University of Health Sciences in Haryana.

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Additionally, on August 9, NBCC received a significant Rs 15,000-crore order from the Srinagar Development Authority to develop a Satellite Township over 406 acres in Srinagar, J&K. On August 30, NBCC's stock closed at Rs 186.37 per share on the NSE, down by 4.34% from the previous day's close.

Stay updated with NBCC's latest news and developments as the company continues to expand its footprint and enhance shareholder value.