lndraprastha Gas Declares 1:1 Bonus Shares: To Be Credited By February 09, 2025; Buy Now?

India's top natural gas distributor is Indraprastha Gas Ltd (IGL). For customers in the residential and commercial sectors, it offers an uninterrupted natural gas supply. Indraprastha Gas Limited (IGL), which was founded in 1998, distributes city gas in Delhi, the National Capital Territory. Following the company's announcement of bonus shares in a 1:1 ratio, Indraprastha Gas's shares closed Tuesday's trading session on the NSE 0.34% higher at Rs 386.85 per share, with a market capitalisation of Rs 27,079.53 Cr.

Indraprastha Gas Bonus Shares

The Board of Directors in its meeting held today, i.e. Tuesday, December 10, 2024, have inter-a/ia, considered and approved "Issuance of Bonus Shares to the Shareholders of the Company in the ratio of 1 :1, i.e. 1 (one) Bonus Equity Shares of face value of Rs 2/- each fully paid up for every 1 (one) existing equity shares of face value of Rs 2/- each fully paid up, to the eligible shareholders of the Company as on the record date, as may be fixed, subject to the approval of the Shareholders of the Company," said IGL in a stock exchange filing today.

70,00,00,800 equity shares having face value of Rs 2/- each is the total number of securities proposed to be issued as bonus shares by the company.

On or before February 09, 2025 is the estimated date by which such bonus shares would be credited/dispatched by Indraprastha Gas as per a stock exchange filing.

Authorized Share Capital of Indraprastha Gas

The Board of Directors in its meeting held today, i.e. Tuesday, December 10, 2024, have inter-a/ia, considered and approved "Increase in Authorized Share Capital of the Company from Rs 220,00,00,000 divided into 110,00,00,000 Equity Shares of Rs 2/- each; to Rs 1000,00,00,000 (Rupees One Thousand Crores) divided into 500,00,00,000 (Five Hundred Crores) equity shares of Rs 2 (Rupees 2) each by consequential alteration to the Capital Clause of the Memorandum of Association of the Company, subject to shareholders' approvals," said IGL in a regulatory filing.

Indraprastha Gas Share Price Target

Hardik Matalia - Derivative Analyst at Choice Broking said, "IGL is currently trading at 389.6 levels, indicating a sharp reversal from recent lows, driven by renewed buying momentum and robust volumes. Following the announcement of its bonus issue plan. The decision to issue bonus shares has boosted investor confidence, driving increased liquidity and attracting significant retail participation. The stock's positive momentum is further confirmed by its positioning above the short-term (20 Day), EMA levels, reinforcing its technical resilience. The rally has been accompanied by significantly higher trading volumes, indicating strong buying momentum. This breakout marks a reversal in sentiment after a period of higher high and higher low."

"The stock is currently trading below its 50-day and 100-day EMA levels, indicating resistance at these points. The next potential targets are the 50-day EMA towards the target of Rs 415 in the short term. Traders and investors who entered at lower levels are advised to safeguard their positions by trailing stop losses near 370 near 20-day EMA levels, aiming for the target of 415 and beyond. The momentum indicator, Relative Strength Index (RSI), is currently at 53 levels, indicating positive momentum in the stock. For those considering fresh investments, purchasing at the current market price (CMP) is a viable option, targeting 415, with a stringent stop loss set at 370 levels to manage risk effectively," the analyst further recommended.

Disclaimer

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