IndiaMART InterMESH announced in a filing that its Board of Directors will consider a request to issue bonus stock to buyers on the 28th of April. "The Board of Directors of the firm will also consider a request for the offering of Bonus Shares, subject to the approval of the shareholders of the company, in the previously mentioned Board Meeting," the company said.
A corporation gives bonus shares to its stakeholders to boost the liquidity of the stock and also to lower the stock price to make it more affordable for buyers.
A company's bonus stock shares are fully paid additional shares issued to its current shareholders. When a company issues bonus stock, its owners pay nothing extra to obtain them. The quantity of bonus stock that you receive is multiplied by the number of shares you presently own in the company.
All of the shareholders who hold shares of the company before the ex-date, as decided by the company, have the right for extra shares.
Apart from the bonus problem, the company will also report its fourth-quarter results on the 28th of April and consider paying dividends if the board approves it.
On the National Stock Exchange, the firm's shares closed 1.93% higher at Rs 5,305 per share on Tuesday. This year, the stock has risen approximately 22 percent.
The company recorded a 33% increase in revenue to Rs 251 crore for the 3rd quarter of the year, while its overall net profit increased by roughly 61% to Rs 113 crore. According to Trendlyne statistics, the average target price for IndiaMART InterMESH is Rs 5475.67, reflecting a 2.96% increase from current levels.
IndiaMart is one of the biggest online B2B marketplaces in India, linking buyers and providers. With a 60% market share in the online B2B classified area in India, the channel concentrates on providing a platform to smaller businesses, major enterprises, and individuals.
