Dr Reddy's board okays bonus debentures

The management committee of board of directors of Dr Reddy's Laboratories Ltd has approved the allotment of bonus debentures in the ratio of six bonus debentures of Rs 5 each for every equity share of Rs 5.

The allotment was made pursuant to the Scheme of Arrangement which came into effect on February 1, 2011 after securing all regulatory approvals, the Hyderabad-based company informed Bombay Stock Exchange on Thursday.

The bonus debentures would carry an interest at 9.25 per cent per annum payable annually in arrears. They have a tenure of three years from the date of allotment and would be redeemed on March 24, 2014, it added.