Stock market today: Shares of Rama Steel Tubes Ltd have been on an upward trend since early morning trades on Thursday. The small-cap stock with a market cap of ₹2,088 crore today opened up at ₹13.95 per and went on to touch an intraday high of ₹14.65 per, registering a nearly 10 percent increase during the intraday session. The small-cap stocks witnessed a spurt in volume as well. According to the information available on the BSE website, Rama Steel shares traded ex-bonus on Tuesday and bonus shares were issued in the ratio of 2:1 on Wednesday. This means that two bonus shares were issued on Wednesday by the company’s stock committee to all those Rama Steel shareholders who owned companies after the end of the Tuesday session this week.
Issue of 2:1 bonus shares
Rama Steel Tubes Limited informed Indian stock markets about the issue of bonus shares saying, “Subject to receipt of approval from shareholders of the company through postal ballot on February 28, 2024 and upon receipt of in-principle approval from National Stock Exchange of India. Limited (“NSE “) and BSE Limited (“BSE”) see letter No. NSE/LIST/39750 dated March 13, 2024, and letter No. LOD/Bonus/BNIP /VK/1372/2023-24 dated March OS , 2024 respectively, the Board of Directors of the Company in its meeting held today made an allotment of 101,99,04,050 fully paid Bonus Shares of Rs.1/- each in the ratio of 2:1 (Two) Equity Shares of Rs. 1/- each for each (One) Equity Share of Rs.1/- each held by the shareholders of the Company on the record date (March 19, 2024), as per SEBI (ICDR) Regulations, 2018 and applicable rules .”
“The Board of Directors of the Company has also reserved 1,62,50,000 bonus shares for 16,25,000 number of outstanding warrants as on record date expected for conversion into equivalent number of equity shares, in the ratio of 2:1 (ie Two equity shares for all equity shares held),” Rama Steel Tubes added.
The small-cap stock is available for trading on BSE and NSE and its current market cap is ₹2,088 crores. Its current trading volume on NSE is 3.70 lakh and about two hours of trading still remain on Thursday deals. After price adjustment after issue of bonus shares in the ratio of 2:1, the 52-week high of this small-cap stock is ₹16.83 per piece while its 52-week low is ₹8.82 per share.
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Published: 21 Mar 2024, 13:31 IST