Utssav CZ Gold Jewels Board Approves 1:1 Bonus Issue After Strong Market Rally

Bonus Share Plan

Utssav CZ Gold Jewels Limited will issue bonus shares in a one-is-to-one ratio following approval from its board of directors on October 23. Eligible shareholders will receive one new bonus share with a face value of ten rupees for every existing share they hold. The company plans to issue two crore forty-nine lakh ninety-eight thousand bonus shares. This move will double the paid-up equity share capital from twenty-four point nine-nine-eight crore rupees to forty-nine point nine-nine-six crore rupees, raising the total number of shares to four crore ninety-nine lakh ninety-six thousand.

Capital Growth and Returns

Along with the bonus issue, the board approved increasing the authorised share capital from twenty-four point nine-nine-eight crore rupees to sixty crore rupees, divided into six crore shares of ten rupees each. This change supports the expansion of the paid-up share capital. The company's stock closed marginally lower at one thousand thirteen rupees per share on the National Stock Exchange on Friday, October 23. The share price has surged fifty-five point zero-seven percent in one month, three hundred fifty-four point four-six percent in two thousand twenty-six so far, and four hundred twelve point nine-one percent over the past year.

Context

Bonus shares are free shares that companies give to their current shareholders based on the number of shares they already own. Companies usually issue bonus shares to encourage retail participation by lowering the stock price per share and to reward loyal investors during periods of strong financial growth.