1:1 Bonus Shares Declared: Record Date In Due Course of Time; Unlock The Deal?

Under section I (Chapter XXI) of the Companies Act, 2013, the partnership firm "Rajeshwari Metal Printers" was converted into a company, which is now known as Rajeshwari Cans Limited.Ahmedabad is home to Rajeshwari Cans Ltd. and Shree Rajmetal and Chemical Industries. With an in-house offset printer (one colour and two or two colour), this Gujarat-based firm, which is based on well-known packaging product makers, also prints on aluminium sheets for PP cap and advertising board producers and tin plate manufacturers.

Rajeshwari Cans Bonus Shares

The Board of Directors considered and approved "Issue of bonus shares in the ratio of 1:1 i.e. 1 (one) new fully paid-up equity share of Rs. 10/- (Rupees Ten Only) each for every 1 (one) existing fully paid-up equity share of Rs. 10/- (Rupees Ten Only) each, to the eligible equity shareholders of the Company as on the record date, by capitalization of securities premium received in cash and retained earnings," said the company in a stock exchange filing.

The bonus shares will be issued out of securities premium account of Rs. 5,24,60,000 received in cash and retained earnings available audited balance sheet as of September 30, 2024. The pre-bonus share capital comprises fully paid up 52,46,000 equity shares of Rs. 10 each aggregating Rs. 5,24,60,000 while the post-bonus share capital comprises fully paid up 1,04,92,000 equity shares of Rs. 10 each aggregating Rs. 10,49,20,000.

"The Board of Directors of the Company for capitalization of such sum not exceeding Rs. 5,24,60,000/- (Rupees Five Crores Twenty Four Lacs Sixty thousand only) from and out of the Retained earnings and Securities premium account of the Company as determined by the Board as may be necessary for the purpose of issue and allotment of bonus equity shares of Rs. 10/-(Rupees Ten) each, to be credited as fully paid up shares to the existing equity shareholders of the Company holding fully paid up equity shares of Rs. 10/- (Rupees Ten) each of the Company whose name appear in the Register of Members List of Beneficial Owners provided by the Depositorines as on 'Record Date' to be determined by the Board for this purpose, in the proportion of 1 (One) new fully paid-up bonus equity share of Rs. 10/- (Rupees Ten) each for every 1 (One) existing fully paid-up equity share of Rs. 10/-(Rupees Ten) each held by the members and that the new bonus equity shares so issued and allotted shall, for all purposes, be treated as an increase in the paid-up equity share capital of the Company," said Rajeshwari Cans in a report.

"The Board of Directors at its meeting held on October 30, 2024, have recommended issue of bonus equity shares of Rs 10/- (Rupees Ten only) each credited as fully paid-up to eligible members of the Company in the proportion of 1:1 i.e., 1 (one) new fully paid up equity share of Rs 10/- (Rupees Ten only) each for every 1 (one) existing fully paid-up equity share of Rs 10/- (Rupees Ten only) each by capitalising a sum not exceeding Rs 5,24,60,000 (Rupees Five crore twenty four lacs sixty thousand only) out of retained earnings and securities premium of the Company," Rajeshwari Cans further informed to stock exchanges.

Rajeshwari Cans Share Price Target

"Rajeshwari Cans is bearish on the Daily charts with strong resistance at 705. A Daily close below support of 594 could lead to a target of 489 in the near term," said A R Ramachandran, Independent Research Analyst.

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