Emami Ltd on Tuesday said it would issue bonus shares to the shareholders in proportion of one (bonus share) for every two existing shares held. It also said that June 27 has been fixed as the record date for the purpose as also for dividend for FY13.

The issue of bonus shares will increase Emami Ltd’s paid-up capital to Rs 22.70 crore from Rs 15.13 crore. The company informed stock exchanges that majority of the shareholders approved the proposals relating to issue of bonus shares through the postal ballot. The company had last issued bonus shares in 2004.

The promoters (72.74 per cent) and FIIs (14.46) would be the biggest beneficiaries of the issue.

The Re 1 stock, however, reacted negatively on the prospects broadening of the capital base. By mid-session (at 1.30 p.m.) it was down over a per cent at Rs 720.10 on the BSE. It slipped further to close at Rs 717.10, an overnight loss of 1.69 per cent.

>jayanta.mallick@thehindu.co.in

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