After RIL, IOC to dole out 1:1 bonus for shareholders

Just days after petrochemical giant Reliance Industries declared a surprise bonus issue, state-run refiner Indian Oil Corporation today said it will give one free share for every scrip held by its shareholders.

Indian Oil Corporation will dole out the bonus shares after a gap of six years. The last time the company had declared a bonus issue was in 2003.

The shareholders of IOC, by way of postal ballot, have approved the 1:1 bonus issue, IOC said in a filing to the Bombay Stock Exchange.

The company has fixed October 30 as the record date for the purpose of ascertaining the eligibility of shareholders for the issuance of bonus shares, it added.

Earlier this month, the board of Reliance Industries, after a gap of 12 years, had recommended a 1:1 bonus issue for its shareholders, which the company said would help unlock value.

Meanwhile, shares of IOC closed at Rs 640.15, up 0.10 per cent on the BSE. During the day, the scrip had gained 0.86 per cent to a high of Rs 645.

The board of IOC had last month approved the bonus issue of one equity share of Rs 10 each, for every share of Rs 10 each held.

Post bonus issue the paid-up equity capital of the company would stand revised to Rs 2,427.95 crore, from the present level of Rs 1,213.98 crore.