Oil India gains in weak market on bonus issue plan

The stock moved higher by 2.7% to Rs 345, bouncing back 5% from its intra-day low of Rs 328 touched on BSE in early morning trade

Oil India gained 2.7% to Rs 345 on BSE in intra-day trade after the company announced the board will consider issue of bonus shares in the meeting scheduled on February 9, 2018. The stock recovered 5% from its intra-day low of Rs 328 was the sole gainer among S&P BSE 200 index. The index was trading 3.27% lower at 4,493.

Earlier, on January 29, the state-owned oil exploration & production company had said a meeting of the board of directors of the Company will be held on February 09, 2018, to consider and approve unaudited financial results for the quarter and nine months ended December 31, 2017 on standalone basis and  payment of interim dividend for the FY 2017-18, if any.

Last year in January 2017, Oil India had issued bonus shares in the ratio of 1:3 i.e. i.e. 1(one) bonus equity shares of Rs 10 each for every 3 (three) existing fully paid up equity share each. The company also declared interim dividend of Rs 9.50 per share (i.e. 95%) for the year 2016-17.

At 10:40 AM; the stock was trading 1.4% higher at Rs 341 on BSE. On comparison, the S&P BSE Sensex was down 3% at 33,720.